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Monday, February 3, 2014

RBI may "OK"  POST BANK OF INDIA

The Reserve Bank of India May "ok" India Post Proposal for opening a separate entity  called "Post Bank Of India"


Post Bank of India will be a Corporate Ltd Company Registered under Indian Companies Act of 2013 .

The RBI may permit  this separate entity of the MOC and DOP with certain conditions...
ie
1. To function as a Payment Bank in the rural and village sector.
2. To function as a Banker for the Rural Mass
3. To connect Banking and Other services with the rural and village areas where the present banks have not covered.
4. To fulfill the social obligations of  the Banks thro Post Bank of India..

The RBI is expected to grant license to the applicants after thorough investigations on the feasibility & credentials of  the applicants.

, head of the Reserve Bank of India ()’s committee on , on Thursday said the postal bank model had been a success globally. In a report by the committee, Mor had advocated differentiated banks and a new structure for priority sector lending
He also said  
“I don’t want to comment anything about India Post. What I am saying is worldwide,  have been very effective as payment banks,” Mor said at the sidelines of a seminar of financial inclusion.

“We need to be lot more flexible and not frown on collaborations. Let the regulator be a referee, and not a captain,” Mor said

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