IndusInd Bank gains on being empanelled as an 'agency bank' to the RBI

IndusInd Bank rose 1.99% to Rs 1007.65 after the bank said that it has been empanelled by the Reserve Bank of India (RBI) as an 'agency bank' to facilitate transactions related to government businesses.

The announcement comes close on the heels of a recent RBI guideline that authorizes scheduled private sector banks as agency banks of the regulator for the conduct of government business.

With this, IndusInd Bank joins ranks with few other private banks of the country to carry out general banking business on behalf of the central and state government, while also offering customers - the convenience of undertaking routine financial transactions through its state-of-the-art banking platform.

Soumitra Sen, head - consumer bank, IndusInd Bank said, We are honored to be appointed by the RBI to facilitate transactions pertaining to all kinds of government led businesses.

Given IndusInd Bank's exclusive suite of services comprising innovative and cost-effective solutions, coupled with our state-of-the-art technology platforms, we are confident of being a 'partner of choice' for the government, its enterprises, as well as all other stakeholders in fulfilling their financial aspirations in the most seamless manner.

As an empanelled 'agency bank', IndusInd Bank can now be authorized to handle transactions pertaining to government businesses such as revenue receipts under CBDT, CBIC & GST on behalf of the state/central government, pension payments on behalf of state/ central government, Work related to small savings schemes (SSS), collection of stamp duty charges, collection of stamp duty from citizens for franking of documents and collection of state taxes such as professional tax, VAT, state excise etc. on behalf of various state governments.

IndusInd Bank caters to the needs of both consumer and corporate customers. As of 30 June 2021, the IndusInd Bank's distribution network included 2,015 branches and banking outlets and 2,870 onsite and offsite ATMS across 760 geographic locations, as against 1,911 branches and banking outlets and 2,721 onsite and offsite ATMs across 751 geographic locations as of 30 June 2020.

The bank's standalone net profit jumped 111.7% to Rs 974.95 crore on a 7.8% rise in total income to Rs 9,355.77 crore in Q1 June 2021 over Q1 June 2020.

Powered by Capital Market - Live News