You are here: Home » Finance » News » Banks
Business Standard

Cabinet hikes spending for India Post Payments Bank by 80% to Rs 14.35 bn

IPPB services are slated for a nationwide launch by the Prime Minister Narendra Modi on September 1

Press Trust of India  |  New Delhi 

Banks
Photo: Shutterstock

The Cabinet on Wednesday approved an increase of 80 per cent in spending on (IPPB) to Rs 14.35 billion, three days ahead of the nation-wide launch of the payments bank.

The additional outlay of Rs 635 crore is primarily on account of costs related to technology (Rs 4 billion) and human resources (Rs 2.35 billion), an official statement said after the Cabinet meeting chaired by Prime Minister

services are slated for a nationwide launch by the Prime Minister on September 1.

On Day 1 of the launch, will have 650 branches and 3,250 access points across the country and will offer a range of products such as savings and current accounts, money transfer, direct benefit transfer, bill and utility payments and enterprise and merchant payments.

These products will be offered through multiple channels such as counter services, micro ATMs, mobile banking app, SMS and IVR.

All 1.55 lakh post offices in the country will be linked to system by December 31, 2018, the statement said.

The Cabinet has also approved payment of incentive/ commission to the last-mile agents (postal staff and gramin dak sewaks) directly in their accounts for providing

A part of commission, to be paid by IPPB to Department of Posts, will be used for upgrading the infrastructure.

First Published: Wed, August 29 2018. 14:10 IST
RECOMMENDED FOR YOU