The State Bank of India on Sunday signed a memorandum of understanding (MoU) with the Shree Kshetra Dharmasthala Rural Development Project (SKDRDP), an NGO, to facilitate cashless transaction between SKDRDP and 12 lakh members of self-help groups associated with it.
The MoU was signed by State Bank of India chairman Rajnish Kumar and D. Veerendra Heggade, who is the patron of SKDRDP. Copies of the MoU were exchanged between Mr. Kumar and Mr. Heggade in the presence of Prime Minister Narendra Modi at a function organised by SKDRDP here.
SBI Managing Director (Retail and Digital banking) Parveen Kumar Gupta said that the bank was developing the SBI BHIM application to enable cashless transactions between the SKDRDP and SHG members.
“Here, the SKDRDP will act as an intermediary between the bank and members of SHGs (who receive loan from the bank). The SHG member can use this app to transfer funds to the bank through SKDRDP. Similarly, SHG members will receive amount,” he said. Mr. Gupta said that this was the first time the bank was developing an application for an intermediary.
The new app would be ready by November this year. Mr. Gupta said that depending on the success of the new app, the bank would consider having similar applications for other intermediaries working for SHGs. The bank was promoting digital transactions among SHGs, he added.
Mr. Gupta said that these 12 lakh SHG members will be getting RuPay debit cards.
