The Reserve Bank of India has granted permission for the functioning of the India Post Payment Bank and it is expected that the same will start functioning before 31 March 2017 as a report in the press indicates.
The RBI was not granting sanction for the Department of Posts to start the payment bank for a long time. Airtel and Paytm was granted permission earlier. It is informed that the facility will be rolled out in 650 using the network facility of 1.54 lakh Post Offices.
The government has appointed A.P.Singh of Indian Postal Service as the interim MD and CEO of IPPB. Is it necessary to have a separate entity for IPPB, when the Department of Posts is there? Is it trying to take away the banking business from the DoP?