Digital transactions in banking sector going up: SBI

: Point of Sale (PoS) transactions in State Bank of India surged 300 per cent in numbers and 200 per cent by value, indicating that digital transactions have really gone up, SBI chairperson Arundhati Bhattacharya said.
"Digital transactions have really gone up in the sense that if you look at my PoS transactions, it is 300 per cent up in numbers and 200 per cent by value," Bhattacharya told reporters in response to a query on increase in cashless transactions in SBI.
"If you take a look at the wallet, the wallet download is hugely up. In fact, we have never seen so many wallet downloads, which itself is more than 100 per cent.

"Typical transaction levels have surged and we are seeing a huge demand. A lot of people are coming to us for PoS machines," she said.
For instance, the Bombay Doctor's Association had yesterday requested the bank for 650 PoS machines for use in doctors' chambers, she pointed out.
Similarly, a lot of corporates were asking for Impress Cards for low value payment to many of their contract workers, even for people like drivers who were given cash to tank up cars.

They can be given Impress cards as there was a lot of demand for cards and PoS machines, Bhattacharya said.

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To a query on deposits made in banks following
demonetisation, the SBI chairperson said 15 per cent may remain in the bank and the balance circulated in the economy.
"The amount that is coming into the bank (from public) will not remain with it. We expect around 10 to 15 per cent of it to remain in the bank, but the rest will have to go back because they were in the economy," Bhattacharya said.
Asked if there would be a decrease in lending rates from banks, she said banks follow a time table on certain things.

"So we have to see what is the cost of deposits on the 24th of each month and thereafter, the cost of lending will be determined on 1st of next month. This is what we are doing," she said.
On recalibration of ATMs to dispense new currencies, she said 60 per cent of the ATMs were recalibrated and the remaining would be completed in five days.
Asked if demonetisation was another way of recapitalising banks, she said, "How it will recapitalise banks? Because, frankly speaking, demonetisation has nothing to do with recapitalisation".
"The fact of the matter is it is not even known whether the Government will directly benefit from demonetisation as is being made out by some people in the media.But definitely what will happen is revenue income of the Government will go up."

On education loans, she said customers availing such loans need to repay to banks as they in turn need to pay depositors.
"If I do not recover the student loan, how will I give back the depositors money? As a depositor will you waive your interest? It cannot happen. Therefore, if you take a loan, you have to pay back," she said.