25 October 2014

Bharti Airtel and Axis bank collaborate on mobile money and banking services

18 May 2012  |  6432 views  |  1 Taj Mahal

Indian telco Bharti Airtel has combined forces with Axis Bank to offer 'no-frills' savings accounts and remittances to unbanked users of the airtel mobile money platform.

The Infosys-enabled 'airtel money Super Account powered by Axis Bank' will offer users integrated banking transactions including cash deposit, money transfer and withdrawal.

Sanjay Kapoor, CEO - India & South Asia, Bharti Airtel says: " According to estimates, nearly 43% of our country's population does not have bank accounts and continues to rely on cash for majority of transactions as well as payments. The all new 'airtel money Super Account powered by Axis Bank' acts as a no-frills bank account that comes with remittance capabilities which empower customers to send money, withdraw cash from the nearby designated airtel money outlets, keep money safe and even enjoy interest on savings through their mobile device."

In the future, other banking products and services will be added to platform, says Kapoor, such as micro-recurring deposits, micro fixed deposits, small loans and micro-insurance products.

Shikha Sharma, MD & CEO, Axis Bank says: "Our alliance with Airtel will help the bank to reach out to excluded segments of our population, both in rural and urban centres, with reasonably priced banking and financial services."

The venture marks Airtel's second attempt to extend its mobile money capabilities into the banking market. The telco announced a joint venture with the country's largest bank, State Bank of India, last year, to a offer a complete suite of banking services via both the mobile platform and a state-wide network of branches and retail distribution outlets. However, the plans were scuppered by the Reserve Bank of India over the equity arrangements for the venture, which would have given the telco a stake in the banking business without recourse to a banking license.

Comments: (1)

Srinivas Chintakrinda - Capgemini - Minneapolis | 18 May, 2012, 11:54

Is it that Airtel is going to operate as a subsidary of Axis bank to provide physical banking services where Axis is not having their bank branches !  It is suggested in the article that Airtel service centres can be used to keep the cash and also withdraw facilities ! What are the ground rules for this banking operations?

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board, sign up now.

Related blogs

Create a blog about this story (membership required)

Related stories

09 May, 2012
12 March, 2012
22 February, 2012
03 June, 2011
18 January, 2011
12 January, 2011
26 November, 2010
30 November, 2007

Featured job

to £60k base, £100k OTE
Anywhere, UK

Find your next job