POSTBANK OF INDIA  Ready in next TWO years:-

The postal department plans to enter the banking business with the Reserve Bank of India deciding to grant new bank licences to entities with credible track-record.

Sources said the Department of Posts, which has a strong foot print in rural areas, has appointed Ernst and Young (E&Y) as the consultant for the proposed ‘Post Bank’

“Ernst and Young is expected to submit a detailed project report by April, after which all the necessary measures will be taken up to apply for banking licence,” a source at the Ministry of Communications and Information Technology told PTI.  The sources added that the Department of Post (DoP) might need Cabinet approval for setting up Post Bank of India.

Of the 1.55 lakh post offices in the country, around 24,000 district offices may be ready to offer banking services in the next two years.   The DoP is in process of setting up 1,000 ATMs.

“Post Bank shall not only take care of the banking needs of the rural poor but shall also converge with micro-insurance and micro-remittance services of the DoP,” the source said.

As per data shared with Parliament, there were over 26 crore operational small savings accounts in post offices as on March 31, 2012, having deposits worth Rs.1.9 lakh crore. Some Other expected banks from  :  LIC,  IFCI,  Sundaram Finance,  M&M,  Reliance,  TATA ,  IDFC,   L & T ,  Bajaj etc,.

As seen from world wide many postbanks have been  found. Deutsche Postbank, Postbank-kenya, Postbank- South Africa, Postbank Philippines, Japan Postbank, Postbank germany etc.. . All these banks have been setup in long back and operating banking operations successfully. No doubt PBI  will get great success  with more existing and new customers. 

//POSTED 25.02.2013 at 08.15 //