Digital banking unit norms: 24×7 operations, in tier 1-6 centres

The Reserve Bank of India (RBI) on Thursday launched the rules on institution of digital banking models (DBUs) after Finance Minister Nirmala Sitharaman, in her Budget speech for fiscal 2022-2023, had introduced establishing of 75 DBUs in 75 districts to commemorate 75 years of independence of the nation.

DBU is a specialised fastened level enterprise unit or hub housing sure minimal digital infrastructure for delivering digital banking services and products in addition to servicing current monetary services and products digitally in self-service mode at any time, all yr spherical, the RBI stated.

Commercial banks (aside from RRBs, cost banks and LABs) with previous digital banking expertise are permitted to open DBUs in tier 1 to tier 6 centres, until in any other case particularly restricted, with out having the necessity to take permission from the RBI in every case, the central financial institution added.

As per the RBI, every DBU should supply sure minimal digital banking services and products. Such merchandise needs to be on each liabilities and belongings facet of the stability sheet of the digital banking section. Digitally value-added providers to standard merchandise would additionally qualify as such. DBUs are anticipated emigrate to extra structured and custom-made merchandise, from customary choices by use of its hybrid and high-quality interactive capabilities, it stated.

The providers embrace saving financial institution accounts beneath numerous schemes, present account, fastened deposit and recurring deposit account, digital equipment for patrons, cellular banking, web banking, debit card, bank card, and mass transit system playing cards, digital equipment for retailers, UPI QR code, BHIM Aadhaar and level of sale (PoS).

Other providers embrace making purposes for and onboarding of consumers for recognized retail, MSME or schematic loans. This may additionally embrace end-to-end digital processing of such loans, ranging from on-line software to disbursal and recognized authorities sponsored schemes which can be lined beneath the nationwide portal.

Digital providers embrace money withdrawal and money deposit solely by ATM and money deposit machines respectively with out bodily money acceptance or disbursal throughout counters, passbook printing, assertion era, switch of funds (NEFT/IMPS assist) and updation of KYC and different private particulars.