“After diversifying its business with parcel directorate and payments bank, the department has decided to set up insurance firm as a special business unit in two years,” Sinha told. “The request for proposal to appoint a consultant for setting up insurance unit will be floated soon,” Sinha said.
PM Narendra Modi launched India Post Payments Bank (IPPB) on 1 September that aims to take banking to the doorstep of every citizen by arming three lakh postmen and ‘Grameen Dak Sewaks’ with digital aids to deliver financial services. IPPB, which will be available through 650 branches and 3,250 access points immediately, scaled to all 155,000 post offices by December 2018, is like any other bank but with a smaller scale of operations and without involving any credit risk. The freshly-minted payments bank will accept deposits of up to Rs.1 lakh, offer remittance services, mobile payments/transfers/ purchases and other banking services like ATM/ debit cards, net banking and third-party fund transfers.
