The policies and procedures of the Reserve Bank of India in respect of the operations with the State Cooperative Banks (SCB's), the future development of Cooperative Credit, and the role which the Apex Banks might be called upon to play were dwelt  in length by  Dr. D.R.Gadgil while presiding over the annual general meeting of the  Maharashtra State Cooperative Bank in 1962. This had  prompted eminent Cooperators like Shri. Magan Bhai R.Patel  to explore the possibility of setting a federal organization deal with  the above issues .Consequently, the federation was registered as,

“ALL INDIA STATE COOPERATIVE BANKS FEDERATION” on May 19^th  1964 

Under the provision of  the Maharashtra Cooperative Societies Act, 1960. 
Subsequently, it has been named as 

NATIONAL  FEDERATION OF STATE COOPERATIVE BANKS’ (NAFSCOB)  On
December 20^th. 1978. 

The Federation works mainly for  promoting and protecting the interest of the member Banks in all Spheres of their Activities.

It has  an organizational set up  consisting of  Three main sections viz.,

• Planning, Research and Development (PRD)  

• All India Mutual Arrangement Scheme, (AIMAS)

• Computer Service Division (CSD)