RANCHI: The country's first India Post payments bank , at Ranchi general post office (GPO), will be inaugurated by Union finance minister Arun Jaitley via video conferencing on Monday evening. India Post is the first government-held entity to be issued a licence to run a payments bank by the Reserve Bank of India (RBI).Payment banks is a new concept introduced and promoted by the RBI, wherein licensed banks can accept deposits of up to Rs 1 lakh per account holder.These banks will be able to provide services like debit cards and mobile banking facilities. Payments bank will also facilitate third party services like insurance, mutual funds, pension and more. "It is a proud and historic moment for the Jharkhand circle of India Post," Chief postmaster general (CPMG), Jharkhand, Anil Kumar said.The 1033 square foot Ranchi GPO will serve as an umbrella unit since India Post is planning to expand its banking services in its offices spread across rural and semi-urban areas of the state in the weeks to come.A team of officers from the postal directorate in Delhi has already arrived to look after the arrangements and monitor electronic linkages to make the services operational.Airtel is the first private entity to have launched its payment banking services.

Source: Times of India January 29, 2017 17:26 UTC