Union Finance Minister Nirmala Sitharaman and RBI Governor Shaktikanta Das also attended the launching ceremony through virtual mode.
Union Finance Minister Nirmala Sitharaman and RBI Governor Shaktikanta Das also attended the launching ceremony through virtual mode.
Prime Minister Narendra Modi on October 16, 2022 attributed India’s sustained economic growth to the BJP government’s efforts to replace the pre-2014 ‘phone banking’ with ‘digital banking’.
Referring to the previous UPA government, he said that under ‘phone banking’, banks were given instructions over the phone on what terms and conditions to give loans to them.
After dedicating 75 Digital Banking Units (DBUs) to the nation, he said that the economic progress of a country is directly related to the strength of its banking system.
The Prime Minister said that as the banking sector has become a vehicle for good governance and better service delivery, the addition of Direct Benefit Transfer (DBT) has helped prevent leakages and bring in transparency.
He said that the government has so far transferred Rs 25 lakh crore through DBT and another installment under the PM-Kisan scheme will be transferred on Monday.
Under the Pradhan Mantri Kisan Samman Nidhi (PM-Kisan) scheme, financial benefits of ₹ 6,000 per year are provided to eligible farmer families, which is payable in three equal installments of ₹ 2,000.
With regard to DBUs, he said that these will further enhance financial inclusion and enhance the banking experience for citizens.
As part of the Union Budget 2022-23, Union Finance Minister Nirmala Sitharaman had announced to set up 75 DBUs In many districts of the country to commemorate 75 years of India’s independence.
DBU is being set up to ensure that the benefits of digital banking reach every nook and corner of the country. 11 public sector banks, 12 private sector banks and one small finance bank are participating in this effort.
The DBUs will be brick-and-mortar outlets that will provide people with a variety of digital banking facilities such as opening a savings account, checking account balance, printing passbooks, money transfer, fixed deposit investments, loan applications, credit or debit cards. application for. , and bill and tax payments, among others.
DBU will enable customers to provide affordable, convenient access to banking products and services and an enhanced digital experience throughout the year.
They will spread digital financial literacy and will have a special emphasis on cyber security awareness and customer education on security measures.