The Reserve Bank of India (RBI) has initiated measures to extend organised banking services to those who have no access to them in rural areas.

Regional Director of the bank K.R. Ananda told The Hindu here recently that it had identified about 4,600 remote villages in the State with a population of 2,000 each.

“We have told all the banks to have banking correspondent (BC) or a structure in these villages by 2012,” he said.

This was mainly for the payment of benefits of the welfare programmes such as the Mahatma Gandhi National Rural Employment Guarantee Scheme.

This model would help those in the rural areas get banking facility at their doorstep and increase the financial inclusion further.

“The BC model was proposed to bring those in the rural areas into the formal banking system,” he said.

After providing the basic banking services, other banking facilities could be gradually extended to these villages, he said.

Keywords: Reserve BankRBIbanking