Tag: Payments bank

In this post, we analyse the RBI’s proposed policy changes to payments and settlements sector and how they might impact the PBs and PPIs

In this report, we analyse the payments bank (PB) model in terms of the performance of individual PBs in furthering the goal of financial inclusion placed on the payments bank model.

In this report we study the performance of the four fully operational Payments Bank

Recently, the Reserve Bank of India has begun licensing a new kind of retail bank, called payments banks, for the hitherto financially excluded.

A closer look at recent Payments Banks KYC and conduct violations.

RBI recently released the operating guidelines for the Small Finance banks and Payments Banks on October 6, 2016. To take stock of these, we have put together a brief comparison of the regulatory requirements of these banks against those for universal banks.

Payments banks are different from regular banks. They can only accept deposits up to Rs. 1 lakh per person, roughly $1500, and cannot grant loans. Furthermore, payments banks can only invest their money in safe government securities and other highly liquid assets. Their primary objective is to further financial inclusion by providing access to small savings, payments and remittance services to low-income customers without compromising financial stability.

Yesterday, the RBI announced in-principle Payment Bank licenses for eleven applicants. To put things in perspective, there were two new bank licenses in the last decade.

The RBI published the final Charter of Customer Rights for banking customers in December 2014.

The RBI has published final Guidelines for Licensing of Payments Banks in India after reviewing feedback and comments obtained by it on the draft guidelines that were published in July 2014 and covered in an earlier post.