Task Force Recommends Setting Up Postal Bank Of India

24 April, New Delhi

A Task Force has recommended the setting up of a fully professional Postal Bank of India to cover all those who are deprived of banking facilities.

Its mandate will be to fulfill the objectives of the Pradhan Mantri Jan Dhan Yojana which is meant to benefit them across the country, particularly in the rural areas.

Communications and IT Minister Ravi Shankar Prasad stated in the Rajya Sabha Friday that the new institution will be known as the Postal Bank of India or PBI.

It will offer full financial services as per the RBI norms. The Minister said the Task Force has also suggested that the proposed Postal Bank be set up under an Act of Parliament.

As a statutory institution it would have utmost credibility. Its initial capital requirement of Rs 500 crore will be fully met by the Central government, he said.