The 75 Digital Banking Units (DBU) will further financial inclusion and enhance banking experience for citizens

Prime Minister Narendra Modi dedicated 75 Digital Banking Units (DBU) across 75 districts to the nation on Sunday via video conferencing.

The 75 Digital Banking Units (DBU) will further financial inclusion and enhance banking experience for citizens. “DBU is a big step in the direction of Ease of Living for the common citizens”, he Prime Minister Modi said in his address to the gathering.

“We have given top priority to ensure that banking services reach the last mile”, he said.

He explained that in such a banking setup, the government aims to provide maximum services with minimum infrastructure, and all of this will happen digitally without involving any paperwork. It will also simplify the banking procedure while also providing a robust and secure banking system.

“People living in small towns and villages will find benefits like transferring money to availing loans. Digital Banking Units are another big step in that direction which is going on in the country to make the life of common man of India easier”, he added.

Prime Minister Modi said that today, more than 99 percent of villages in India have a bank branch, banking outlet or a ‘banking mitra’ within 5 km radius.

“Extensive Post Office network too was harnessed via India Post Banks for providing the banking needs to the common citizens”, he said. “Today the number of branches per one lakh adult citizens in India is more than countries like Germany, China and South Africa”, he added.

Union Finance Minister Nirmala Sitharaman, who is on a visit to the USA, participated in the launch via video conference from Washington DC. Reserve Bank of India Governor Shaktikanta Das also attended the event.

This is a joint initiative of the Government, the RBI, the Indian Banks Association and the participating banks.

According to the Ministry of Finance, the DBUs will be brick-and-mortar outlets which will provide a variety of digital banking facilities to people.

This will include opening savings accounts, balance-check, print passbooks, transfer of funds, investment in fixed deposits, loan applications, stop-payment instructions for cheques issued, applying for credit/debit cards, view statement of account, pay taxes, pay bills, make nominations, etc.

DBUs will be different from traditional branch in following aspects:

  • They will provide banking services including cash deposit & withdrawal 24 x 7.
  • Services shall be provided digitally. People not having connectivity or computing devices can do banking transactions from DBU in a paperless mode.
  • Bank staff will be available to help and guide users for banking transactions in assisted mode
  • Will help in providing digital financial literacy and create awareness for adopting digital banking.