Mahindra, Tata Motors set to ride on RBI push for cash vans contracts

RBI security norms will see orders for 7,000 units valued at Rs 700 crore over the next few months

Mahindra & Mahindra (M&M) and Tata Motors will get a shot in the arm with cash logistics companies (CLC) set to place orders for nearly 7,000 upgraded cash vans valued at about Rs 650-700 crore. This follows a Reserve Bank of India (RBI) diktat calling for stricter security protocols for CLCs given the increasing reliance of banks on outsourced service providers and their sub-contractors.

“It is the biggest such upgrade by the industry, and orders are expected to be placed over the next six months. Each upgraded cash van will cost about Rs 9 lakh. It’s a big capital expenditure for