RBI to soon come out with payment bank

Tags: News
The Reserve bank today said it will soon come out with a payment bank, as recommended by the Nachiket Mor committee.

"We are also coming up shortly with what could be payment bank because there is huge potential for financial inclusion with focus on remittances by involving payment system product," RBI Deputy Governor H R Khan told reporters on the sidelines of BFSI Conference organised by SBI Capital Markets.

Before coming out with the payment bank, the RBI will issue guidelines for it.

Khan also said the central bank is in the process of issuing guidelines on universal commercial banking licences.

"I know that you are not happy that we have given licence to two (entities). We will come out with guidelines on universal commercial banking, which will be not be a single window, but it will be 'on tap'," Khan said.

The RBI, in April, had given in-principle approval for setting up of banks to IDFC and Kolkata-base micro lender Bandhan.

As many as 26 applicants, including state-run IFCI and private sector Anil Ambani group and Aditya Birla group, Bajaj Finance, Muthoot Finance, Religare Enterprises and Shriram Capital, had applied in the recent round of issuance of new banking licences.

The deputy governor said the central bank will also issue norms for small banks in the private sector along with mid-sized universal commercial bank.

EDITORIAL OF THE DAY

  • By banning the sale of BS-III vehicles, SC has ruled in favour of public health

    Automobiles, commercial vehicles and two-wheeler manufacturers have no alternative but to comply with the Supreme Court directive of not selling BS-II

FC NEWSLETTER

Stay informed on our latest news!

TODAY'S COLUMNS

Sandeep Bamzai

Cut & Thrust: SRK’s ALPHABET SOUP

On Saturday, the Enforcement Directorate sent a show cause notice ...

Ananda Majumdar

Power of risk in politics

A counter na-rrative appears to be emerging in the ongoing ...

Zehra Naqvi

Success lies in learning to embrace failure

Among the thronging multitudes that offer you lessons on success, ...