24 July 2017
Download the paper now.

Airtel takes on Indian incumbents with live launch of mobile payments bank

12 January 2017  |  5217 views  |  0 India, Rajabi Clock Tower

India's largest telco, Airtel, has announced the national launch of the country's first mobile payments bank.

Airtel is one of the first new entrants to take advantage of the Indian government's push to accelerate financial inclusion and inject competition into the market through the provision of special 'payments bank' licences.

These new players, taking on traditional lenders, are able to take deposits of up to Rs 1 lakh, issue debit and ATM cards, and facilitate online transactions - but are not allowed to lend money.

Following a soft launch in November across the state of Rajasthan, Airtel says the bank is now live in all 29 states of India. The iOS and Android app is supplemented by Airtel's physical presence in 25,000 stores across the sub-continent.

The company says that over 1 million customers joined the network during the pilot phase, taking advantage of headline grabbing interest rates of 7.25% per annum on savings account deposits, airtime rewards and free insurance offerings.

Airtel will be joined in the market next month by mobile wallet operator Paytm, which was granted a payments bank license by the Reserve bank of India earlier this month.
KeywordsTELECOMMS

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

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

Related stories

India's SBI to launch digital-only bank

India's SBI to launch digital-only bank

06 January 2017  |  13322 views  |  1 comments | 9 tweets | 4 linkedin
Paytm gets RBI nod for payments bank launch

Paytm gets RBI nod for payments bank launch

03 January 2017  |  6377 views  |  0 comments | 9 tweets | 6 linkedin
India offers subsidies for digital payments

India offers subsidies for digital payments

12 December 2016  |  7376 views  |  0 comments | 21 tweets | 16 linkedin
Airtel pilots India's first Payments Bank

Airtel pilots India's first Payments Bank

24 November 2016  |  6781 views  |  4 comments | 8 tweets | 19 linkedin
Paytm banking plans boosted by $60 million funding round

Paytm banking plans boosted by $60 million funding round

30 August 2016  |  4223 views  |  1 comments | 6 tweets | 1 linkedin
India's Unified Payments Interface goes live with 21 banks

India's Unified Payments Interface goes live with 21 banks

26 August 2016  |  14503 views  |  0 comments | 25 tweets | 26 linkedin
India's mobile banking plans fall flat

India's mobile banking plans fall flat

04 August 2016  |  9481 views  |  2 comments | 17 tweets | 8 linkedin
DBS launches mobile-only bank in India

DBS launches mobile-only bank in India

26 April 2016  |  10185 views  |  2 comments | 12 tweets | 27 linkedin
Telcos and tech firms get Indian payment bank licences

Telcos and tech firms get Indian payment bank licences

19 August 2015  |  13722 views  |  6 comments | 34 tweets | 19 linkedin

Related blogs

Create a blog about this story (membership required)
visit vasco.com/news/PSD2-compliant-solutionsvisit www.abe-eba.euvisit www.niceactimize.com

Top topics

Most viewed Most shared
Mastercard to buy AI outfit BrighterionMastercard to buy AI outfit Brighterion
11034 views comments | 14 tweets | 20 linkedin
Barclays rides payments-as-a-service wave with investment in Form3Barclays rides payments-as-a-service wave...
9875 views comments | 16 tweets | 12 linkedin
UK judge blocks £14bn class action suit against MastercardUK judge blocks £14bn class action su...
8876 views comments | 7 tweets | 6 linkedin
PayPal strikes deals with Chase and CitiPayPal strikes deals with Chase and Citi
8787 views comments | 10 tweets | 5 linkedin
Mastercard and Scotiabank join Enterprise Ethereum AllianceMastercard and Scotiabank join Enterprise...
8690 views comments | 25 tweets | 16 linkedin