Terming mobile banking as an integral part of banking services, telecom regulator Trai today sought views from service providers on making the service more secure.
Trai has floated a consultation paper, which has sought comments from the operators on how to make basic financial services easily available and secure through mobile phones.
Trai has asked operators to give their views on methods of communication on mobile network that would be suitable for enabling financial transactions through mobile phones.
Further, the security requirement using the method proposed by service providers is for five basic transactions -- no-frills account opening, cash in, cash out, checking balance and money transfer.
The National Sample Survey data reveals that 51.4 per cent of nearly 89.3 million farmer households do not have access to any credit either from institutional or non institutional sources.
A large percentage of rural population does not have a deposit account which means that they do not have access to even basic financial services.
Around 209 million rural mobile subscribers far outstrip bank account holders in rural areas. Access to basic financial service continues to be an unrealised dream for millions of our citizens.
"With an aim to utilise fast growth of mobile telephony in rural and remote areas and mobile banking is seen as integral part of banking services," Trai said.
The exponential growth of telephone services as well as improved technology has opened the door for the mobile phone to be used as an instrument for banking operations.
Service providers are requested to send their comments by November 23, Trai added.
The government had already formed an Inter-Ministerial Group (IMG), which had already finalised the framework on delivering financial services over mobile phone.
Different government departments and regulatory bodies needs to take appropriate action to enable transaction based on the IMG framework.
The feedback from different stakeholders would help the telecom department to set the parameters for making the service accessible and more secure.
