India’s Leading BFSI Companies 2020

India’s Leading BFSI Companies 2020 Experts’ View E - 3 Suresh Sethi Managing Director & Chief Executive Officer India Post Payments Bank (IPPB) Kindly explain in brief the company’s operations and its role in driving financial inclusion. India Post Payments Bank (IPPB) has been setup with the vision to build the most accessible, affordable and trusted bank for the common man in India, leveraging the last mile reach and penetration of the postal network. Since its nationwide launch on Sept 1, 2018, IPPB has enabled more than 1.36 Lakh Post Offices and 1.9 Lakh Dakiyas to provide a complete suite of banking services at the doorstep of the customer providing access to any Aadhaar linked bank account, leading to an increase in rural banking infrastructure by almost 2.5 times. The sheer ability of the last mile doorstep banking service providers (postmen/ GDS) to reach every village on an almost daily basis has brought down the distance to access banking services to ‘0 kms’, thus truly capturing the essence of Aapka Bank, Aapke Dwaar. While Jan Dhan Yojana was the first step in bringing crores of Indians into the financial mainstream, IPPB’s ability to provide Interoperable Doorstep banking services to customers of any bank, including the over 38 crore Jan Dhan account holders gives a fresh impetus to the inclusion of customers facing accessibility challenges in the traditional banking eco system. Kindly explain some of the company’s technology initiatives. Considering IPPB’s target market segments being some of the most financially excluded and vulnerable sections of the society, the Bank has enabled responsible banking at the last mile through frugal innovation and simple & intuitive user interfaces. • Paperless banking, account opening in less than 3 min at the doorstep, implemented on a robust technology platform built on the pillars of India Stack & Aadhaar • Account opening and transaction initiation enabled through biometric authentication, thus obviating the need to remember a Pin/ Password • Uber like doorstep banking service provided through 190,000+ ‘Dakiyas’, equipped with a smartphone and a biometric device connected real-time online to a Core Banking Platform • Ease of banking through services available in 13 languages across multiple assisted and self-service channels • Unique technology driven solutions like QR Card and Assisted UPI to make digital adoption easier We are also the First Payments Bank to receive Scheduled Bank status subsequent to a stringent RBI inspection certifying robustness of IPPB’s technology and processes What are the future plans of the company? The success of IPPB’s business model underlines the Government’s intent in creating an interoperable banking infrastructure for the public good contributing towards changing the financial inclusion landscape in India. IPPB is not just a Payments Bank, it serves a far bigger objective in enabling the banking industry at large to provide doorstep services to their customers through the Postmen and Grameen Dak Sevaks. Banking As A Service ¾ ¾ Horizontal integration of allied services: Single window approach o Aadhaar enrolment o DBT enrolment o Aadhaar linked Account Opening ¾ ¾ Enhancing the last mile service stack • DBT Disbursements • B2B model providing Banking as a Service to Financial Institutions o Loans – micro credit o Micro-insurance o Investments and Savings ¾ ¾ Enabling Post Offices as digital literacy centers Dun & Bradstreet