The National Highway Authority of India (NHAI) has updated its list of authorized banks and non-banking financial companies (NBFCs) that can issue FASTags, a mandatory electronic toll collection system. The revision comes after the Reserve Bank of India (RBI) ordered the closure of Paytm Payments Bank Ltd (PPBL) due to non-compliance and supervisory concerns, leading to its removal from the list.
The revised list now includes a total of 39 banks and NBFCs eligible to issue FASTags to vehicle owners. These include prominent names such as Airtel Payments Bank, Axis Bank Ltd, Bandhan Bank, Bank of Baroda, Canara Bank, HDFC Bank, ICICI Bank, IDFC First Bank, IndusInd Bank, Kotak Mahindra Bank, Punjab National Bank, State Bank of India, and Yes Bank.
Other banks and NBFCs that have been authorized to issue FASTags are Allahabad Bank, AU Small Finance Bank, Bank of Maharashtra, Central Bank of India, City Union Bank Ltd, Cosmos Bank, Dombivli Nagari Sahakari Bank, Equitas Small Finance Bank, Federal Bank, Fino Payment Bank, Indian Bank, Indian Overseas Bank, J&K Bank, Karnataka Bank, Karur Vysya Bank, LivQuik Technology Pvt Ltd, Nagpur Nagarik Sahakari Bank Ltd, Punjab Maharashtra Bank, Saraswat Bank, South Indian Bank, Syndicate Bank, The Jalgaon People’s Co-op Bank, Thrissur District Cooperative Bank, and UCO Bank.
The NHAI’s decision to remove PPBL from the list of FASTag issuers comes in the wake of the RBI’s directive to shut down the payments bank due to non-compliance with regulatory requirements and supervisory concerns.
The revised list of authorized FASTag issuers aims to provide vehicle owners with a wider range of options and ensure a smooth transition to the electronic toll collection system, streamlining the payment process and reducing congestion at toll plazas across the country.
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Published: 13 Mar 2024, 06:37 AM IST