India accounts for nearly 1.30 lakh ATMs, in spite of having large number of ATM machines across the country, our country is lagging behind from USA and China. The addition of ATMs in urban areas is on large scale, whereas rural areas are lacking in ATMs because of illiteracy, poverty, flexibility banks least prefer to establish ATMs in those areas. It has been noticed that in urban areas on an average of 1600 ATM are established every year.
Now, there is need to develop and enhance the rural areas with banking facilities. In order to achieve this RBI issues norms in 2012 to set up White label ATMs, they function similar to the other ATMs but are owned by non- banking companies.
With the help of these ATMs government is trying to avail rural area people with easy access to banking facilities. WLAs are coming as a very useful element for the banking network. WLA help people to access banking facilities within their vicinity.