India Post Payments Bank wants to convert itself into universal bank: CEO

New Delhi: India Post Payments Bank (IPPB) wants to convert itself into a universal bank as the vast network of post office branches would help in achieving financial inclusion, said its MD and CEO J Venkatramu on Tuesday.

"Given the network of post offices, probably we fit the bill in terms of being the institution which can reach every nook and corner. If we get a full-fledged banking licence, especially for financial inclusion, that will help us serve larger goals," Venkatramu said at a CII event. He was replying to a question on the bank approaching the Reserve Bank of India (RBI) for universal bank licence.

'Credit is an important facet of financial inclusion'

Venkatramu said that credit is an important facet of financial inclusion as well as social upliftment, the vast network of post offices could help in financial inclusion and extending credit. As a payment bank under the RBI, IPPB can extend services of deposits, remittances, internet banking and other specified services, but they cannot give loans or issue credit cards.

'Design proper ecosystem for redressal of customer's grievances'

Speaking at the event, Secretary in the Department for Promotion of Industry and Internal Trade (DPIIT) Anurag Jain emphasised on the importance of a properly designed ecosystem for redressal of customer's grievances.

"There could be a problem in 0.1 percent of the transactions but that will also add to huge number of transactions. For you (payment banks), it may be statistics but the person who has lost the money, for him, it is a problem," Jain said.

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