Government permits new banks to be opened. Stock Market News.

New branches of banks to be opened in the next financial year.

Mumbai: To bring a large section of the population under the ambit of banking services, the central government wants to increase the number of branches of banks. For this, he has sent a list of such places to banks, where they can open their branches. It includes both government and private banks. Three people related to the case have given information about it. State Bank of India, Bank of Baroda, HDFC Bank and ICICI Bank, etc., included in this list, have been given directions by the government to open 14,000 to 15,000 branches in the coming year.

A banker who attended this meeting, on the condition of anonymity, said, "This order has come from the Ministry of Finance to provide bank facility within a radius of 15 km in a village where there is no bank. Branches Be opened at the places suggested by the Ministry. "
While public sector banks like State Bank of India have to open 1,500 branches, private banks have been asked to open 600 to 700 branches. This list includes villages and panchayats where there are no branches. This will enable people to get banking services easily.

As of March 2019, there were 1,20,000 bank branches in India. There were more than 2 lakh ATMs in the country. Of this, only 35,649 branches were in rural India. According to the Reserve Bank, adding rural banks, the total number of bank branches in rural India was 52,000, which is just 3 percent more than in the year 2018.

For banks, profits start coming from the bank branch in the metro city in just two years, while the rural branch is able to recover its cost in four years. But the Reserve Bank has relaxed the rules for opening and operating branches, which is expected to improve the situation in rural India.

A private bank official said, "The government wants banks to reach areas where there is no organized sector to take loans so that the cost of loan and interest rates for the villagers can be reduced. Such people are still rich people Take a loan from itself. " The Reserve Bank had proposed a mini branch in 2017, under which banks can open small branches in rural areas without the permission of the regulator. In such areas, the bank opens only for four hours, its working days are also short.

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