India Post Payments Bank: Big jump in number of transactions
Launched in 2018, IPPB is already associated with the Direct Benefit Transfer programme that sends grants to different beneficiaries
India Post Payments Bank (IPPB) saw two-fold increase in transactions from the time the pandemic began, even as its peers continue to struggle to find a feasible business model. On an average, IPPB records close to 10 lakh transactions worth Rs 30 crore everyday. It now plans to create a platform for its digital services in collaboration with India Post.
J Venkatramu, IPPB CEO and MD, told The Economic Times that the number of transactions grew at a phenomenal rate owing to the Covid-19 pandemic that led to a decreased movement of the people. He also said that around 4.5 lakh customers used the digital life certificate platform over the last 15 months. A digital life certificate is a document that enables senior citizens to upload their proof of life online without appearing in person before the authorities. This document is mandatory for pension schemes.
Venkatramu further added that a collaboration between India Post’s massive network and IPPB’s digital technologies will create wonders in the banking space in rural India. A digital platform might now be created for this.
India Post backing
Customers of the post office will now have the facility to transfer funds online to schemes like PPF, Sukanya Samriddhi and RDs using their IPPB accounts. They can enjoy banking facilities using the internet and without visiting the bank.
IPPB, with the help of the Grameen Dak Sevak of India Post, has developed an assisted digital service platform that offers various banking services. All post offices have been connected using core banking and now offer all banking services.
Launched in 2018, IPPB is already associated with the Direct Benefit Transfer programme that sends grants to different beneficiaries. So far, it has 650 branches with deposits exceeding Rs 2,500 crore. In addition to this, IPPB has rolled out two- and four-wheeler insurance in the assisted model that will allow IPPB customers to get their vehicles insured with the help of postmen or through the post office.