Banking at post offices to be a reality soon

650 post office branches to run as banks by 2017

GN Bureau | June 2, 2016


#Post office payments bank   #IPPB   #financial inclusion  


From next year, you could avail services of a bank at your nearest post office as the Centre has given the nod for setting up the India Post Payments Bank (IPPB). The bank would run as a public limited company under the department of posts, with 100 percent government equity.

It would receive the license from the Reserve Bank of India by March 2017 and start its operations by September next year through 650 payments bank branches, linked post offices and alternative channels riding on technology including mobiles, ATMs, etc.

Communications and IT Minister Ravi Shankar Prasad called the payments bank of the postal department to be a game changer. He said that with 1.54 lakh post offices, India’s network would be the largest in the world.

The government would be spending Rs 800 crore on the project and aims to target 40 percent of the country’s population that is outside the ambit of formal banking. The project would be rolled out in a phased manner. Initially, 650 branches would be set up along with 5,000 ATMs across the country.

Some of the facilities to be provided by these banks include payments and remittance services, financial services like insurance, mutual funds, pensions and access to credit in tie-up with third party financial providers.
 

Comments

 

Other News

BJP lawmakers top the list in hate speech cases

Out of all MPs and MLAs in office, 58 have declared cases related to hate speech. This includes union minister for drinking water and sanitation Uma Bharti along with 14 other Lok Sabha MPs. The list also includes 8 state ministers. A party wise analysis reveals that BJP has the highest numb

After its withdrawal from Meghalaya and Arunachal, is it time to review AFSPA in other areas too?

After its withdrawal from Meghalaya and Arunachal, is it time to review AFSPA in other areas too?

Togadia, Sinha and anti-Modi prejudices masked by empty rhetoric

There is an uncanny similarity in the pathological opposition to prime minister Narendra Modi by two members of the right wing, Pravin Togadia and Yashwant Sinha. They come from a diverse social and political background; yet they share a common strand that shows an unmitigated hatred towards

“We are becoming American digital colonies”

Data is the new oil; and it needs to be protected. In an interaction with Governance Now, Lionel Baraban, CEO of Famoco, talks about how the French tech firm is developing secure business devices to safeguard data against going to other countries. What are the major roles o

Goa Shipyard and MTU, Germany to manufacture MTU engines in India

Goa Shipyard Ltd (GSL) and MTU, Germany have agreed to cooperate in the  local manufacturing of technologically-advanced MTU series 8000 engines in India. Under the agreement, which was signed at India’s leading defence trade show Defexpo-18, the companies will manufacture the 16-

ONGC employees bag 13 medals at the Gold Coast CWG

ONGC sportspersons outshone other participants in their respective categories in the recently concluded Commonwealth Games in Gold Coast, Australia. ONGCians bagged 13 medals including 5 Gold, 3 Silver and 5 Bronze, contributing to the 66 medal tally of Team India. ONGCians Ragala Venkat Rah

Current Issue

Current Issue

Video

CM Nitish’s convoy attacked in Buxar

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter