India Post Payments Bank launched in Jharkhand

Jharkhand Governor Droupadi Murmu Saturday launched the India Post Payment Bank (IPPB) here.

Speaking at the launch of the Ranchi branch of IPPB, Murmu said banking system in urban and rural areas will become better with the introduction of IPPB.

She expressed hope that IPPB will become a bank with maximum reach and will prove a popular bank.

The governor said that the Indian Postal department has a vast network with 1.55 lakh post offices with 80 per cent in the rural areas.

The strong over three lakh postal work force will be helpful in providing banking facility in rural, cities and far off places in the country, she said.

The main objective of the payment bank is to reach to the people who are till now away from banking services, Murmu said.

The IPPB launch in Odisha followed the national roll out of IPPB by Prime Minister Narendra Modi at a function in New Delhi.

India Post Payments Bank will be like any other banks but its operations will be on a smaller scale without involving any credit risk. It will carry out most banking operations like accepting deposits but can't advance loans or issue credit cards.

The freshly-minted payments bank will accept deposits of up to Rs 1 lakh, offer remittance services, mobile payments/transfers/purchases and other banking services like ATM/debit cards, net banking and third-party fund transfer.