RBI issues payments bank licences to 11 firms

RBI issues payments bank licences to 11 firms

The companies that got payments bank licences include RIL, Aditya Birla Nuvo, Airtel M Commerce Services, Vodafone m-pesa and Tech Mahindra

Joel RebelloAnup Roy
The RBI had received 41 applications for payment bank licences. Photo: Pradeep Gaur/Mint
The RBI had received 41 applications for payment bank licences. Photo: Pradeep Gaur/Mint

Mumbai: The Reserve Bank of India on Wednesday gave an in-principle nod to eleven entities to launch a payments bank—the first set of differentiated bank licences to be issued by the regulator.

The eleven companies include conglomerates and large telecom firms like Reliance Industries Ltd, Aditya Birla Nuvo Ltd, Airtel M Commerce Services Ltd, Vodafone m-pesa Ltd and Tech Mahindra Ltd.

The Department of Posts, Cholamandalam Distribution Services Ltd, FINO PayTech Ltd, National Securities Depository Ltd, Dilip Shanghvi (promoter of Sun Pharma) and Vijay Shekhar Sharma (promoter of Paytm) have also been granted licences.

The RBI had received 41 applications for payment bank licences, out of which 11 have been accepted

“In arriving at the final list, the Committee of the Central Board (CCB) noted that it would be difficult at this stage to forecast the most successful likely model in the emerging business of payments. The CCB further noted that payments banks cannot undertake lending, and therefore believed that the payments bank would not be subject to the same risks as a full service bank,” said the RBI as part of its statement.

“It has selected entities with experience in different sectors and with different capabilities so that different models could be tried,” said the RBI

Payments banks will provide basic savings, deposit, payment, and remittance services to people who currently do not have a bank account, including millions of migrant workers. Almost half of India’s population is unbanked. Such banks will not lend money.

“We believe the unbanked segment holds a big potential and we will continue to work for this segment,” said Rishi Gupta, managing director and chief executive officer of FINO PayTech Ltd, on news of getting the licence.

G.V. Nageswara Rao, managing director and chief executive officer of NSDL, said that there is lot of room to modernize payment systems and upcoming payment banks can play a role here.

Unforgorable Strike by BPBEA On 17.08.1948

Govt. Decision on Banking Sector

Pensioners' Issues - AIBOA writes to UFBU Convener on RECORD NOTE DT 25 5 2015

August 11, 2015

Com.M.V.Murali
Convenor-UFBU
HYDERABAD

Comrade,

REG:  RECORD NOTE DATED 25.05.2015

We are confident that the communication dated 04.08.2015 addressed by the General Secretary, All India Bank Retirees Federation must have been received by you pertaining to 100% DA for the retirees  prior to 01.11.2002.

2.         It was clearly communicated by our organisation vide our letter dated 06.02.2015, in response to AIBRF letter addressed to you that all 5 unions should be invited to intimate the various twists and turns in resolving the issues by IBA.

3.         To arrive at the cost involved in all the three issues viz.,

            [i]         100% DA prior to 01.11.2002
            [ii]        Family Pension – 30% as that of RBI
            [iii]       Updation of pension based on the time tested formula.

We should insist for the details from IBA on priority basis.

4.         We are confident that the emphasis to resolve the retirees matter should be taken under any other matter with permission of Chair in the proposed meeting on 16.08.2015.

Please acknowledge receipt.

Yours Comradely,

(S NAGARAJAN)
GENERAL SECRETARY

cc to : 

All constituents of UFBU
President/General Secretary -All India Bank Retirees Federation

AIBOC-ISSUE OF SECOND AND FOURTH SATURDAYS OFF

Message from AIBOC:

Dear Comrades,

ISSUE OF SECOND AND FOURTH SATURDAYS OFF

A lot of queries are being received by us on implementation of second and fourth Saturdays off in
Banking Industry. We understand the anxiety as the issue which is very important, the most cherished and agreed demand of AIBOC, is being delayed in its implementation.

A few individuals from other organisations who were never serious about the demand or were even
creating hurdles in its achievement, are now shedding crocodiles tears. These paper tigers are
provoking common members by giving false information.

Let us advise you that in-principle approval of Govt. and RBI is already in place on the settlement
signed with IBA and more specifically on second and fourth Saturdays off. We are in continuous touch with DFS & IBA officials and have been following the issue. The delay is on account of some
clarifications being sought by authorities which are replied by officials down the line and IBA. 

As a responsible Organisation we are vigorously following up and pursuing the issue. However, we cannot make any irresponsible statement of starting any agitation etc. at the present stage. One upmanship is not our objective. We are committed to our members and are endeavouring that fruits of our undeterred efforts for achieving this objective is reaped by them positively.

We are sure that IBA, Govt. & RBI can not deviate from implementation of 2nd & 4th Saturday off. We intend to wait for another week or so and shall review the position before taking any stand on the issue including start of agitation with due information to other constituents of UFBU.