Non-banks can set up ATMs: RBI
BUSINESS

MUMBAI, February 15, 20                                                                                        SPECIAL CORRESPONDENT

The Reserve Bank of India has decided to permit non-banks to set up, own and operate automated teller machines (ATMs) to accelerate the growth and penetration of ATMs in the country.

“Such ATMs will be in the nature of white label ATMs (WLA) and would provide ATM services to customers of all banks,” the RBI said in its draft guidelines for WLA.

The non-bank entities, proposing to set up WLAs, have a minimum net worth of Rs.100 crore at the time of making the application and on a continuing basis after issue of the requisite authorisation. As per the existing rules/regulations only banks are being permitted to set up ATMs. “There is abundant scope and a felt need to deploy more ATMs, particularly in Tier III to VI areas of the country,” the RBI said.

http://www.thehindu.com/todays-paper/tp-business/article2894382.ece