Airtel has become the first company to launch payment bank—a new category of banks allowed by the Reserve Bank of India in 2015. Airtel Payments Bank Limited, a subsidiary of Bharti Airtel Limited has rolled out a pilot of its banking services in Rajasthan. The pilot is aimed at testing systems and processes ahead of a full scale pan-Indian launch.
Customers in towns and villages across Rajasthan will now be able to open bank accounts at Airtel retail outlets, which will also act as Airtel banking points and offer a range of basic and convenient banking services. Airtel Bank will commence the pilot with banking points at 10,000 Airtel retail outlets.
A wide network of merchants (sellers/shops) across Rajasthan will accept digital payments from Airtel Bank from day one, offering customers the convenience of cashless purchase of goods and services via their mobile phones in a quick and secure manner. Airtel Bank plans to expand its merchant network in Rajasthan to 100,000 by the end of the year, giving a big boost to digital payments ecosystem.
Airtel Banking points will offer bank account opening services and cash deposit and withdrawal facilities. Among other things, the bank will offer a 7.5 per cent interest rate on savings bank deposits, money transfer facility to any account number and a personal accident insurance of Rs 1 lakh.
