India Post Payments Bank launched: Details here
On Saturday, at an event in New Delhi, Prime Minister Narendra Modi launched the India Post Payments Bank (IPPB) in a bid to boost banking services in rural areas, and promote further financial inclusion. The launch was initially scheduled for August 21, but was postponed following the death of former Prime Minister Atal Bihari Vajpayee. Here are the details.
PM Modi tweets about the IPPB launch
IPPB will leverage India's vast post office network
As is evident from the name, the India Post Payments Bank will use India's massive post office network to provide financial services across the country, with a particular focus on rural areas. Postmen in rural and urban areas will provide doorstep financial services, while 1.55 lakh post offices will be linked with IPPB services by the end of 2018.
IPPB to soon become India's largest banking network
The IPPB will go live with 650 branches, and 3,250 access points co-located within post offices. 11,000 gramin dak sevaks in rural India, and postmen in urban India will provide doorstep financial services to IPPB's customers. Once the linking process with India's 1.55 lakh post offices has been completed, the IPPB will have India's largest banking network, and have direct presence in rural India.
IPPB will offer a host of products and services
IPPB will offer a wide range of products and services to its customers, including savings and current accounts, bill and utility payments, direct benefit transfers, as well as merchant payments. The bank has already received approval for facilitating NEFT, RTGS, and IMPS transactions, and the bank can also link around the 17 crore extant postal savings bank (PSB) accounts with its customers' respective accounts.
Separately, what the IPPB mobile app will offer
To ensure banking services on the go, IPPB will also launch a mobile app offering several banking services and bill and utility payment options. However, not all services on the app will be available till customers complete their KYC. Additionally, customers will not have to remember PINs, or account numbers to facilitate transactions - transactions can be done by scanning QR codes.
IPPB builds on Jan Dhan Yojana for greater financial inclusion
"IPPB will bring a change in India's economy. Our government made rural and poor people reach bank by Jan Dhan initiative earlier and now, with IPPB initiative we have made banks reach people's doorstep," said PM Modi during the launch.
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