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RBI issues operational guidelines for financial inclusion

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BS Reporter Mumbai
Last Updated : Jan 20 2013 | 11:53 PM IST

The Reserve Bank of India (RBI) on Friday issued operational guidelines for the implementation of a transfer system for servicing low-value accounts and extending banking infrastructure to under-served low income areas.

The regulator asked banks to follow the 'one district-many banks-one leader bank' model in villages in which the designated bank under the financial inclusion plan and the fund-transfer system varied.

According to guidelines, the state government shall designate the leader bank, in consultation with RBI's regional office and the state-level bankers' committee. The leader bank would secure funds from the state government and arrange to transfer funds through inter-bank transfer to other banks.

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First Published: Aug 13 2011 | 12:57 AM IST

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