The largest lender of the country, State Bank of India has launched mobile banking services in Madhya Pradesh in association with Bhopal-based organization AISECT. This idea of the bank is a part of its financial inclusion program.
Mobile banking is being introduced for the first time as a part of financial inclusion program by any bank in any state of the country.
There are currently two mobile vans having ATMs as well as kiosk banking mechanisms which have started operating in the Hoshangabad and Teekamgarh districts to provide banking facilities to the rural masses.
While launching this scheme, SBI's Chief General Manager Mr. Bhagwant Rao said that the facility should be made to reach the maximum number of rural population.
Santosh Choubey, Director General of AISECT, said, "We have been associated with SBI for Financial Inclusion for the past two years. During this period, rural banking kiosks have been launched at 165 places in MP and Chhattisgarh which have done a business of around 5 crores. Till date, about 10,000 accounts have been opened in these kiosks. Now, with the Government's greater emphasis on achieving 100% financial inclusion within a specified timeframe, schemes like mobile banking have become necessary to reach out to even those villages which have a population of 2000 or less."
Choubey added: "Moreover, financial inclusion's primary purpose of 'banking services for all' will never be fulfilled without making provisions for the urban poor. Thus, a conscious decision was taken to roll out the remittance counters alongside the introduction of mobile banking services."
According to Choubey, "Financial Inclusion is an enormous and extremely prestigious project which requires concerted efforts from all stakeholders. I also believe that technology will play a vital role in the success of this endeavor and therefore we are banking on technology in the form of mobile kiosks to make banking services accessible at the grass root level."