A big step towards meeting digital banking agenda of government
Move to drive cashless loan disbursements in the mirco-lending space hereto dominated by physical cash
RBL Bank conceptualized this idea of utilizing the APBS platform for micro lending making a unique use case and becoming a trendsetter
RBL Bank, one of India’s fastest growing scheduled commercial banks announced today that it has become the first bank in India to launch Aadhaar Payment Bridge System (APBS) for micro finance loan disbursements. This was achieved by doing the first successful cashless disbursement to various beneficiaries in the rural segment across the country.
Usage of APBS for micro finance disbursements will help the sector to accelerate the move towards cashless loan disbursements in a space which has been heavily dominated by physical cash. RBL Bank conceptualized this idea of utilizing APBS platform for this unique use case which should become a trendsetter.
The APBS system can now enable MFIs to disburse loan amounts directly in Aadhaar enabled bank accounts through RBL Bank. APBS has been developed by NPCI mainly to process government subsidies or direct benefit transfer (DBT) to the various government scheme beneficiaries.
A. P. Hota, MD & CEO, NPCI while congratulating RBL Bank for the innovation, said “Loan disbursement through Aadhaar is a novel use of Aadhaar to ensure that the beneficiary can also withdraw the amount with Aadhaar authentication in the field”.
Rajeev Ahuja, Head – Strategy, RBL Bank said “RBL Bank has always tried to be at the forefront by delivering innovative technology solutions in the micro lending space. This unique idea of using an existing government platform for disbursing micro loans is a very big step in the direction of moving towards a cashless society in the rural segment. I am sure many other banks and MFIs will follow this model”.
About RBL Bank
RBL Bank is one of India’s fastest growing private sector banks with an expanding presence across the country. It currently services over 2 million customers through a network of 201 branches and 373 ATMs spread across 16 Indian states and Union Territories. RBL Bank has been recognised by the World Economic Forum as a ‘Global Growth Company’ (GCC). It has also been awarded as ‘India’s Best Bank (Growth)’ in the ‘Small-Sized Bank segment’ by Business Today-KPMG Best Bank Study for four consecutive years – 2012, 2013, 2014 and 2015.
Established in 1943, RBL Bank started a transformational journey under a new management team in 2010. Today, the Bank offers specialized services under six business verticals namely: Corporate & Institutional Banking, Commercial Banking, Branch & Business Banking, Agribusiness Banking, Development Banking and Financial Inclusion, Treasury and Financial Markets Operations. RBL Bank is listed on both NSE and BSE (RBLBANK).
For more information,please visit www.rblbank.com