With the State Government very much interested to connect common man’s account with the Government treasury, the Reserve Bank of India (RBI) will be approached to facilitate such a unique facility.
While a common man is not having direct access to the Government treasury or the vice versa, a lot of time is being consumed for remittance of funds to the person concerned or receiving the funds directly from the person.
The State Government will be approaching RBI Governor Shaktikanta Das in this regard, said sources in Department of Finance.
RBI Governor Das is visiting Odisha from December 12 as Central Board of RBI is holding its meeting from December 13 at Bhubaneswar.
Das is likely to interact with the senior officials of the State Government during his visit and in fact, Das has soft corner for the State, which he belongs to.
‘Connecting people with treasury’ is a new concept and the State Government wants to take advantage from the RBI as both people and State will benefit from such a facility, which is available with nationalised and other commercial banks, said a senior official in Department of Finance.
Direct access to citizens’ account by the State treasury will help in processing Direct Benefit Transfer (DBT) to the beneficiary of any welfare schemes run by the State and Union Government.
Once the RBI facilitates such a facility, some software development is needed for direct connect with the person and the vice versa, said an official.
Similarly, opening of brick and mortar bank branches is a major issue in Odisha as commercial banks are reluctant to open bank branches in rural areas.
Over 2,000 Gram Panchayats are not having bank branches in and around five km. People in tribal zones are suffering a lot due to poor bank expansion. The State Government will raise the issue with RBI Governor Das as it is expected that the RBI will put pressure on the both nationalised and other commercial banks for opening branches.
The issue has been raised time and again in State Level Banking Coordination Committee (SLBC) and the State Government has also brought it to the notice of NITI Aayog, which is harping on ‘Inclusive Banking’.
However situation is just not improving, for which RBI will be approached in this regard, said sources.
While setting up of more bank branches is a concern, activating the ‘Banking Correspondent’ system needs attention of RBI, said a senior official.
Though ‘Banking Correspondent’ System is there, but it is not working properly and people are not greatly benefitted through it, pointed out the official.
Revisiting the ‘Banking Correspondent’ system by the RBI is needed and the State Government would flag the issue with Das, said sources.
