wordpress blog stats
Connect with us

Hi, what are you looking for?

Tamil Nadu government plans to apply for payments bank license: Report

The concept was introduced by the RBI to offer flexibility in banking but many payments banks are now running losses.

The Tamil Nadu government is planning to apply for a payments bank license from the Reserve Bank of India (RBI), Hindustan Times reported on November 2. If granted, it will be the first state to get such a license. A payment bank license allows an entity to offer many of the same facilities as a regular bank such as savings accounts, remittance facilities, and debit cards but not lending facilities like loans and credit cards. Why does Tamil Nadu want a payments bank license? The state is seeking to set up a payments bank to efficiently manage its funds and monitor its disbursal through various welfare schemes, the state's Minister of Finance Palanivel Thiaga Rajan said according to HT. This is one among the several measures the government is taking to ensure that the funds meant for social welfare schemes do not lay idle, aren’t delayed, or used for another purpose. Rajan revealed that the special task force set up by the government in August to reconcile accounts and identify lapsed funds tracked funds worth Rs 2000 crores which were not utilised by various district administrations and departments and remained out of the purview of the government's accounting system. "The ₹2,000 crore that can be remitted back to the treasury is just a trailer…I don’t want to commit any amount but I am sure several thousand crore rupees will be remitted back to the government account in the next few months as the task force continues to analyse" – Rajan as reported…

Please subscribe/login to read the full story.
Written By

Free Reads

News

The service from the tie-up will initally be launched at Bengaluru, Bhubaneswar, Vijayawada and Visakhapatnam railway stations

News

The Minister's response came after an X user posted answers generated by Gemini regarding Prime Minister Narendra Modi.

News

Vaishnaw said that in the next five years, there will be significant disruptions in the way telecom technology operates.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

News

RBI Deputy Governor Rabi Shankar called for self-regulation in the fintech sector, but here's why we disagree with his stance.

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ