11 banks submit action plan; 35 new branches to engage 295 business correspondents
By: Ibni Maqbool
Srinagar: The Public Sector Banks (PSBs) are planning to open 35 new branches and engage 295 business correspondents in Jammu & Kashmir after Union Finance Minister Nirmala Sitharaman directed them to increase their footprint in the Union Territory.
The PSBs have decided to open 35 new branches and engage 295 business correspondents, reveals the action plan submitted by them to Jammu & Kashmir Union Territory Level Bankers Committee (JKUTLBC) to increase their footprint in the UT.
The PSBs planning to open new branches and engage BCs include State Bank of India, Punjab National Bank, Canara Bank, Bank of Maharashtra, Indian Bank, Union Bank of India, Indian Overseas Bank, UCO Bank, Bank of Baroda, Central Bank of India and Bank of India.
Details accessed by The Precious Kashmir reveal that out of 35 new branches planned by 11 PSBs, five are to be opened in urban areas, 23 in semi-urban and seven in rural areas.
“Out of 295 new BCs/ CSPs, 62 are planned to be deployed in urban areas, 6 in semi-urban and 227 in rural areas,” reads documents in possession of the newspaper.
The opening of new branches and appointment of BCs/ costumer service points(CSPs) in new areas will address the geographical constraints.
“Especially the local people who will do the BC/ CSP jobs have more acquaintance with the geography and banking culture of their respective areas which may enhance banking coverage,” the documents state.
The documents state that increased footprints of PSBs shall augment the economic activities in UT of J&K with increased credit flow across the sectors to facilitate employment generation.
“Local farmers, entrepreneurs, traders, self-help group members will be benefitted by the formal financial institutions which will enhance their economic development,” the documents state.
As per documents, the action plans submitted by the banks for opening new branches and engaging CSPs/ BCs shall certainly push further the financial Inclusion in J&K.
“ The basic works related to the banking business which will be done by these entities will cover financial inclusion (FI) goals like opening of new accounts, credit disbursement, fund transfer, pension, insurance, transfer of various government sponsored facilities etc.,” the documents state.