India’s largest cellular operator Bharti Airtel is planning to take advantage of the Reserve Bank’s financial inclusion plans by applying for a payment bank licence.
Bharti said on Thursday that its mobile payments company, Airtel M Commerce Services Ltd., is planning to convert its existing payment instrument licence into a payments bank permit.
The Reserve Bank of India started a call for applications in November for two new types of banks that would help bring the hundreds of millions of Indians without bank accounts into the formal financial system. Payment banks are intended to provide small savings accounts as well as remittance services to more remote areas of the country, taking advantage of telcom company networks to extend the reach of India’s financial services.
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