BANKING EXPECTED TO HAVE A TURNOVER OF OVER 
Rs 21000CRORE IN 5YEARS  AS CAPITAL INVESTMENT IN POST BANK OF INDIA

TheArmed with all necessary approvals from various stakeholders, including the Planning Commission and the Ministry of Finance, the DoP had submitted its application with the Public Investment Board to be put before the Cabinet Committee on Economic Affairs (CCEA) for its approval in January this year. But the matter is yet to be taken up. PBI would use over 1.3-lakh post offices as business correspondent for the last mile reach in rural areas. These post offices will foster government’s financial inclusion agenda by providing simple yet the complete suite of financial products, including deposits, loans, insurance, remittances, pension products and government subsidies,” a senior official said.

Interestingly, the PBI will run on a unique model where just 150 branches would be opened over the next five years and manned by 3,000 employees, and these would be linked to 800 head post offices across India, which will further be connected to 25,000 sub-post offices and these to 1.3-lakh branch post-offices in remote and rural areas, including places such as North-East and Naxal-hit areas.

In its application to the RBI, the DoP has stated that the PBI would need Rs.1,800 crore as total capital investment, of which the government’s contribution would be just Rs.700 crore while the rest would be arranged from domestic and foreign investors.

The PBI is expected to have a turnover of over Rs.21,000 crore in five years with a profit of Rs.300 crore.

BUSINESS » INDUSTRY

NEW DELHI, April 4, 2014

Updated: April 4, 2014 00:05 IST  

INTRODUCING BEAT CODE WITH PIN CODE

To 
All The Divisional Secretaries 
Odisha Circle,
Remittance of Quota:

You are aware that the entire quota toCHQ and Circle has to be cleared and remitted by 30^th April, 2014 for ensuring representation to the All India Conference which is due shortly.

         

You are earnestly requested to remit the full quota positively by 30.4.2014. We may remind you that the receipt of quota at the CHQ is not commensurate with the membership.

Enroll fresh membership:

Comrades, you are aware that declarations from such friends who have not become members of our union are to be submitted to the DDO/SPOs/SSPOs/SRMOs (Post Master concerned) by 30^th of April. You are requested that such declarations are collected from the staff and submitted positively by 30.4.2014 to the concerned favors of AIGDSU.

We request you kindly to translate this circular letter in local language and circulate among the staff. This fact may be explained to the membership through group meetings are meetings and general body meetings.

With struggle greetings,

    Yours fraternally,
Debasis Dey Circle                       Secretary Odisha

ABOUT POST BANK
 The savings banks scheme has a whopping cash balance of about Rs 6 lakh crore and about Rs 22.5 crore accounts. It also includes more than a million of senior citizens’ savings schemes. The most striking part of this is that 89 per cent of it serves the country’s rural areas. Significantly, all this money is lent to state governments (its main source of public borrowing) and not to loss-making airline companies. The postal system also runs a low-premium Postal Life Insurance scheme serving about 1.69 crore people. In the last two years, the Department has invested about 10-20 per cent of the premiums in mutual funds with considerable success. Its portfolio managers are as good or better than that of the regular banks. How will the Post Bank of India work? For the Post Bank of India, the postal department will set up a non-operating financial holding company which will float the bank, which will be a private entity. it will have about 150 branches for which the head post offices will be a correspondent. The access of the network will go all the way down to the neighbourhood post office. The bank will have various products and services that will strengthen financial inclusion. The idea, for which everything is ready, is about real financial inclusion that the existing banks will never be able to achieve in near future. All that it requires from the government is an investment of Rs 700 crore. Reportedly the RBI governor Rahguram Rajan will meet with finance minister Chidambaram before announcing the licenses. If Chidambaram raises his ministry’s objection, Rajan will have to either drop the license or defy the government, although the latter is quite unlikely.

TO ALL THE CONCERNS OF MY  ODISHA CIRCLE

DEBASIS DEY
CIRCLE SECRETARY ,ODISHA