India to Redefine ATMs as Bank Branches

Thursday, October 13, 2016

The Reserve Bank of India has moved to redefine ATMs in remote rural areas as bank branches, to counteract the decline in traditional full-feature outlets and improve financial inclusion.

Noting the growing popularity of mobile banking in India, the RBI wants to ensure the availability of banking services in all areas through low cost delivery channels by bringing fixed point locations such as cash machines on a par with bank branches.

States the central bank: “In the light of the rapid developments in technology and associated digital and telecom revolution, banks are looking at alternative approaches to enlarge their footprints and reach out to the unbanked and underserved centres in remote areas in a cost effective manner.”

Source: Finextra Research (link opens in a new window)

financial inclusion