India Post Payments Bank

On 27 February 2014, India Post opened its first ATM in Chennai,Tamil Nadu

In April 2014, the Reserve Bank of India (RBI) gave in-principle banking licences to IDFC and Bandhan Financial Services out of 26 applicants, but India Post was not considered for a licence because it had not received the mandatory clearance from the government.

However, the RBI said that it would examine the proposal separately in consultation with the government

On 28 February 2015, during the presentation of the Budget, it was announced that India Post will use its large network to run a payments bank

India Post Payments Bank(IPPB) has been recently incorporated as a public sector company under the Department of Posts with 100% GOI equity.

IPPB will offer demand deposits such as savings and current accounts up to a balance of Rs 1 Lac, digitally enabled payments and remittance services of all kinds between entities and individuals and also provide access to third-party financial services such as insurance, mutual funds, pension, credit products, forex, and more, in partnership with insurance companies, mutual fund houses, pension providers, banks, international money transfer organisations, etc.

India Post Payments Bank (IPPB) appointed Suresh Sethi as its Managing Director and Chief Executive Officer on Monday Oct 23,2017

Sethi had been selected by the Banks Board Bureau from top contenders for the post, including public and private sector banking and fintech professionals, the company said in a statement.

He was the former Managing Director of Vodafone M-Pesa and has broad international experience of over 27 years in the banking and financial services industry with Citigroup and YES Bank, across India, Kenya, the UK, Argentina and the US.

He has also worked in the financial inclusion space, where he leveraged digital-led innovation. Sethi takes over from AP Singh, who has been the interim Managing Director and CEO of IPPB since January.

IPPB has been incorporated as a public limited company under the Department of Posts with 100 per cent Government of India equity.

Note

India Post has about 1,54,000 post offices, of them 90% are in rural areas. 

There is one post office for every 7176 people in India.

 India Post also has 2,96,000 agents in the rural area