The Government of India’s Department of Posts has announced that India Post Payments Bank (IPPB) is set to start operations from April, this year.
Following the nationwide rollout, all 155 thousand post office branches located across the country will operate as access points, while the 650 payments bank branches will offer back-end support.
It will cover urban as well as rural areas and provide digital payment services to the customers at the doorstep with the help of postmen and GraminDakSewaks (GDS).
IPPB will also enable more than 170 million active accountholders of Post Office Savings Bank to carry out interoperable digital payments including NEFT, RTGS, UPI and other bill payment services.
Furthermore, it will also accept digital payments across post offices in the country.
In 2015, RBI approved 11 entities including the Department of Posts to set up payments banks which can accept deposits of up to INR100, 000 per account but cannot dispense loans or credit to customers.
In January last year, IPPB started its pilot services in the cities of Raipur and Ranchi.
After the introduction of its services, IPPB will become the third payments bank in India after Paytm and Airtel Payments Bank.