New Delhi: The Government has lifted the embargo on private sector banks (only a few were permitted earlier) for the conduct of Government-related banking transactions such as taxes and other revenue payment facilities, pension payments, small savings schemes, among other things.
With the lifting of the embargo, there is now no bar on Reserve Bank of India for authorization of private sector banks (in addition to public sector banks) for Government business, including Government agency business. The Government has conveyed its decision to RBI.
“This step is expected to further enhance customer convenience, spur competition and higher efficiency in the standards of customer services,” the Ministry of Finance stated here today.
Following the decision, the Ministry stated, private sector banks, which are at the forefront of imbibing and implementing latest technology and innovation in banking, will now be equal partners in development of the Indian economy and in furthering the social sector initiatives of the Government.
– global bihari bureau
👌👌good decision