Panel nudges RBI to fix dry ATMs problem

A parliamentary panel has asked the Reserve Bank of India (RBI) to address the problem of perpetually dysfunctional ATMs so as to avoid any situation of forced cash crunch. The Standing Committee on Finance has also asked banks to install adequate number of ATMs. The panel tabled its report in Parliament last week.

By :  migrator
Update: 2019-01-07 03:10 GMT

New Delhi

As per RBI data, there were 2,21,492 Automated Teller Machines (ATMs) in the country as of September-end 2018. These include 1,43,844 ATMs of public sector banks, 59,645 ATMs of private banks and 18,003 of foreign banks, payments banks, small finance banks and White Label ATMs (WLAs), which are owned and operated by non-bank entities.


“As digital transactions have not become anywhere near universal, the committee would urge upon RBI to pursue the lingering problem of dysfunctionality as well as shortage of ATMs vigorously with banks, while ensuring the economic viability of ATMs for all stakeholders, so that a forced cash crunch is not imposed on the public,” the report said.


The committee has expressed concern that “there are just not enough” ATMs being installed or added to cater to the rising demand for cash in an expanding economy, even as more and more debit cards are being issued and large number of Jan Dhan accounts opened by banks.

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