For the first time in the State, the State Bank of India (SBI) is introducing the Business Correspondent (Entity) in rural areas. The concept, which has been under practice in semi-urban areas, will be formally launched in Medak district by Shivakumar, deputy managing director, local head office, SBI, Hyderabad, on Friday.
The BC (E) is being entrusted with business operations at Kailvemula, Cheryal and Julkal villages in Sangareddy mandal. The business operations in these three villages are being linked to the branch of SBI located at Kandi. The Business Correspondent system is aimed at reaching people in villages where the population is more than 2,000 but banking operations are unreachable.
The SBI head office had entered into an agreement with Mainstream Solutions and Education, a private organisation, to expand its operations in rural areas where no banking operations are available, according to D. Kondaiah, regional manager, SBI.
The person selected to conduct the operations of BC (E) at Kandi would be entrusted to conduct operations at a particular time of two hours each in these three villages. He will come to the village at the schedule time and take deposits as well as hand over withdrawn amount to the customers. However, the total transaction amount should not exceed more than Rs. 10,000. By evening, he is expected to reach the bank and submit details of transactions that had taken place on that day.
The BC (E) representative would operate transactions through biometric smart card system.