India Post Payments Bank (IPPB), which primarily serves the banking services requirements of rural areas, has registered 2,48 crore customers and clocked financial transactions to the tune of Rs 30,800 crore over the last year. In reality, the bank added 1,12 crore clients during the lockdown time, mainly from Bihar (34.4 lakh), Uttar Pradesh (17.7 lakh) and Tamil Nadu (10.11 lakh).
The number of AePS (Aadhar enabled payment Systems) transactions was peaking at 5.42 lakh on May 19, 2020. On June 8 the transactions registered a high of almost Rs 74 crore in terms of value. Overall, AePS transactions averaged around 1.46 lakh per day, and Rs 30.5 crore, respectively.
Prime Minister Narendra Modi launched the bank on September 1, 2018, as an instrument for providing banking services to rural areas. The postal department has about 154,000 post offices nationwide, 139,000 of which are in rural areas. The bank has enrolled 3.5 crore customers since its launch and clocked financial transactions worth over Rs 35,000 crore.
Mr Ravi Shankar Prasad, Communication and IT minister shared the achievements of IPPBS for last one year. He said the deposits from last year’s Rs 303 crore increased by five times to Rs 1,507 crore. Also, a growing number of people are now using the bank to make bill payments. For example, the number of bill payment transactions processed in the last one year has increased to 1,11 crore worth Rs 210 crore. Similarly, in the year since September 1, 2019, the number and value of AePS (Aadhaar-Enabled Payment System) transactions stood at 2,55 crore and Rs 5,640 crore, respectively. The minister describes AePS as a game-changer during Covid-19 pandemic times.
AePS transactions have allowed divyangs, old-age pensioners, infirm, disabled and elderly people to get door-to-door banking services. Direct Benefit Transfer (DBT) benefits have been transferred under PMGKY (Pradhan Mantri Garib Kalyan Yojana) and beneficiaries have been served by the local post office on the IPPB network through AePS. Special focus is placed on providing door-to-door banking services through AePS in sealed / containment areas, migrant labour camps and hotspots so that the population affected by restrictions on taxation.
In addition to the AePS, the Bank made strides during the year by foraying into life insurance. IPPB has built a dedicated team that focuses on third-party products to raise its delivery price while giving consumers product choices. It went live with life insurance products via a tie-up in December 2019 and distributes Insurance regulatory and Development Authority of India (IRDAI)-approved life insurance products (Group Term Life & POS Target Suraksha) through its 650-branch network.
