Monday, July 22, 2013

Government allots Rs 1,300 cr to Post Bank


NEW DELHI: The expenditure department has decided to sanction Rs 1,300 crore to the proposed Post Bank of India to meet its capital requirements even as the department of financial services (DFS) - the wing in the finance ministry that deals with state-run banks and their poliiies – chose to stay away from the   issue.

The proposal's backing by the expenditure finance commission and its subsequent green light by finance minister       P Chidambaram is seen as the official go-ahead by the finance ministry, ignoring the DFS's stance. The DFS position is seen as the first instance of the agency not backing the Post Bank's plan, which officers in the department have privately mocked at.

"They think they can use the postal deposit model for their banking foray. Nothing in their plan seems to be clear. Banking isn't easy," said an officer, who did not wish to be identified. In fact, a strong Post Bank is seen to be the biggest challenge to existing public sector banks, including State Bank of India, which controls 70% of the banking business in the country. SBI, the largest lender, has a little less than 15,000 branches, while there are over 1.5 lakh post offices across the country.

Although Post Bank does not intend to open a bank branch in each post office, the plan is to use postmen to meet the financial inclusion goal. Secretary (posts) P Gopinath refused to speak to TOI despite several attempts.

According to the plan, Post Bank will have 50 branches in the first year, which will be increased to 150 by the fifth year. The branches will be located in select Head Post Offices in Tier-1-4 centres and select Sub-Post Offices in Tier-5-6 centres.

To meet RBI norms, the postal department proposes to set up a new entity - Post Bank of India - that will have an independent board and separate operations. Apart from independent directors, the board will have representatives from the finance ministry and the postal department. Separate recruitment has been planned to have specialist bankers.

While converting the entire postal network would have meant a capital requirement of over Rs 60,000 crore, by setting up a special entity, the fund requirement has been reduced. This, officers said, will also help create a more focused strategy.


Source : THE TIMES OF INDIA  dated 22/07/2013

Thursday, July 18, 2013

DIRECTORATE APPEALS FOR CONTRIBUTION TO PRIME MINISTER'S NATIONAL RELIEF FUND IN CONNECTION WITH UTTARAKHAND HAVOC


LET US ALL PLEASE CONTRIBUTE ONE DAY'S SALARY AS APPEALED BY HEAD OF OUR DEPARTMENT 

LET THE POSTMAN TURN BANKER: INDIA POST DESERVES TO GET A BANK LICENCE

ET Bureau Jul 16, 2013, 05.00AM IST


India Post wants to own a bank. This is a great idea. In onestroke, this can ensure that millions more will get access to formal credit, in one of the most under-banked countries of the world.

The biggest advantage for India Post, among the most enduring institutions set up by the British, is its huge network and customer base. Compared to roughly 1,00,000 commercial and rural bank branches in India, there are 1,55,000 post offices, a majority in rural and semi-urban areas. As a collector of small savings, it has experience in taking deposits — about Rs 6 lakh crore at last count — but not in lending. A bank licence for only India Post would mean that the network of bank branches would more than double in one stroke.

Wednesday, July 17, 2013

PLEASE ENSURE RECOVERY OF UNION SUBSCRIPTION @ RS.50/- W.E.F. 01.07.13 AS PER AMENDMENT

As per Amendment to the Constitution of AIPE Union Group 'C' approved by the 29th AIC held at Thiruvananthapuram  the monthly subscription of members will now be Rs.50/- per month and its allocation would be as under w.e.f. 01.07.2013:

Branch: 24:50
Circle  : 15:00
CHQ    : 08:00
NFPE   : 02:50
Total   : 50:00

Please find here under a scanned copy of  Memo.No. Union/Rlg/X/2010 Dtd 01.05.13 issued by Chief Postmaster General Gujarat Circle addressed to the PMG Rankot/Vadodara and All SSPO/SPOs Gujarat Circle in the matter. A copy has been endorsed to the Circle Secretary also. Few divisional Secretaries are informing that their this memo has not been received in their divisions or accounts branch. In that case, please take out a copy of this memo and hand over it to the accounts sections as well as Divisional office and ensure that subscription is deducted as per this amendment without fail.

Regional Secretaries of Rajkot and Vadodara may also visit R.O. immediately and ensure that this memo is circulated by the R.O. to the divisions very urgently.