Indian Government has escalated its pace on setting up over 650 branches of IPPB all around the nation within next 5-6 months, typically by September 2017. India Post will establish its payments bank in Ranchi and Raipur on a pilot basis.
IPPB will be allocated a handsome amount of Rs. 500 crore for the complete project and its distribution will be as follows:
- An aid of Rs.375 crores will be granted to IPPB
- Capital infusion of Rs.125 crores into corporate entity for IPPB
This allocation of IPPB is under the Department of Posts(DoP) for Output and Outcome Framework Schemes 2017-18. The DoP was allocated Rs.1034.13 crores. It’s distribution is further allocated as follows:
- Rs.279.6 crores for providing IT Solutions in rural areas.
- Rs.110.83 crores for setting up portals, multinational business centres and courier bookings.
- Rs.73.5 crores for managing estates.
- Rs.32 crores for handling emails.
- Rs.17.7 crores for equipment and infrastructure in rural areas.
- Rs.3.8 crores establishing 246 offices and 200 outlets for customer services.
For a deposits of Rs.25000 under IPPB, you will get an interest of 4.5%; for deposits of Rs.25000-50000, you will get 5% interest and 5.5% on Rs.50000-100000.
Rs.800 crores is the total paid up equity for new payments bank under IPPB out of this government has infused Rs.275 crores.
On a similar platform, Airtel has infused Rs.3000 crores and offers 7.25% interest rates on deposits of all amounts. Airtel also offers money transfers to any bank account and free transfer from Airtel to Airtel users.
However deposit limit to all payments banks is Rs.1 lac for each individual and business accounts.