The branchless banking model of financial inclusion developed by Corporation Bank is operational in more than 2,600 villages across the country, according to Mr Ramnath Pradeep, Chairman and Managing Director of the bank.
Speaking at the launch of the book – ‘Reaching Out to the Un-reached: The CorpBank Way', authored by Dr N.K. Thingalaya, Dr M.S. Moodithaya and Dr N.S. Shetty – here on Thursday, he said that the bank adopted this unique model in 2006 where the business correspondent is a permanent resident of the village and is available throughout the day for the villagers.
Till now, the bank has opened more than 13 lakh no-frill accounts across the country. Villages with a population greater than 2000, which were entrusted to the bank, have already been provided basic banking facilities by the bank, much ahead of the deadline of March 2012, he said.
Mr Pradeep said that Corporation Bankhad engaged Justice K.S. Hegde Institute of Management at Nitte in Udupi district to conduct a study to understand the depth of penetration of banking facilities and the impact of financial inclusion in the villages where branchless banking has been implemented.
Dr N.K. Thingalaya, former Chairman and Managing Director of Syndicate Bank, Dr M.S. Moodithaya, Director of Global Initiatives of Nitte University, and Dr N.S. Shetty, Professor at the institute, had devised a detailed format and conducted detailed survey at various villages across the country.
He said that the findings of the survey conducted by the institute and the methodology adopted by the bank for extending financial services to rural areas has been brought out as book. This would serve as a compendium for bankers, academicians and other organisations who are interested in the alternate model of bringing banking facilities to the rural communities, he added.
Branchless banking
Mr Seemant Kumar Singh, Mangalore Police Commissioner, who released the book, said that the branchless banking is a model that can bridge the gap between the haves and have-nots in society.
Dr Thingalaya said there is a need for opening more branchless banking units in the country. With a little more incentive and improvement, this model would reach greater heights, he added.