July 2016

Last year, under the Direct Benefits Transfer (DBT) programme, the government disbursed Rs. 61, 824.32 crore to 30.78 crore accounts in 59 schemes of 14 Ministries/Departments. As the government pushes ahead with DBT in more schemes, especially food, fertilizer and kerosene, it is imperative that the key enablers are in place before the scheme takes off in any district or state. A recent CGAP blog post by Silvia Baur, When Mandating Financial Access for the Poorest Fails, reiterates the five common risks that recipients of digital social payment programs experience: network or service unreliability, insufficient liquidity, complex user interfaces and payment processes, poor recourse mechanisms, and fraud. As these risks can adversely affect trust of the first-time user of formal financial services, a successful transition “ requires careful work by all players in the value chain. The end-to-end solution must be convenient and safe for the recipients, but also take into account the business incentives for payment service providers”.

Leena Datwani and Anand Raman of CGAP put together a concise round-up of the strengths and challenges in each of the eight Payments Banks licensees, How India’s New Payments Banks Stack Up. Their conclusion – “While there are challenges, there is sufficient reason to believe that the remaining players are fully capable of finding innovative means to surmount them”.


Building the Agent Network for Financial Inclusion
Policy Brief April, 2016

Aadhaar: Understanding Content, Intent and Portent
Policy Brief March, 2016

Digital Financial Inclusion: Agenda For India
Policy Brief December, 2015

In the Media

Don't write off payments banks
Mint, 01 June 2016

The Aadhaar Act's a done deal. What next?
THE HINDU BusinessLine, 25 May 2016

Sumita Kale: Jan-Dhan not perfect, but its progress is laudable
Business Standard, 04 May 2016

Sumita Kale: Don't undermine the strides made by Jan-Dhan
Business Standard, 03 May 2016


RBI Payment and Settlement Systems: Vision 2018
Whither Payments Banks!

Section I: Policy – the latest from India’s policymakers

Resolving Stress in the Banking System
Dr. Raghuram G. Rajan, Governor, Reserve Bank of India, June 22, 2016



Pradhan Mantri Jan - Dhan Yojana Accounts Opened 
Trend of Zero Balance Accounts Under PMJDY
Position of Overdraft
Position of Bank Mitra Infrastructure


Section II: News and Views Digest – the latest from India and abroad


IRDAI e-commerce draft aimed at financial inclusion
India Post to boost financial inclusion
SKS Microfinance renamed Bharat Financial Inclusion
The rural piggybank
Why small farmers in Tamil Nadu borrow money at 60 percent interest
RIL and SBI sign agreement for payments bank
Centre takes to tech to slash Food bill subsidy burden; here's how
Indian payments industry set for rapid changes: report
Equitas gets RBI approval for SFB
India Post looks to appoint board for payments bank in 1-2 months
Jan Dhan deposits up 118% over 21 months
Govt. presents blue print on Postal Bank
How technology is disrupting financial inclusion in India
How to win the financial inclusion war
Aadhaar 2.0: Creating India's digital infrastructure
Revitalizing the Self-Help Group Movement in India
Offline Payment Acceptance: A Puzzle and an Opportunity
JAM – Using (Jan Dhan) Bank Accounts, Aadhaar and Mobiles to create new products and services, and new ways of doing things


How Ghana Set Its Rules on Interest Payment on e-Money Accounts
Interest Payments on Mobile Wallets: Bank of Tanzania’s Approach
Use of “Emerging Regulatory Enablers” to Promote DFS
Tugende: Analog Credit on Digital Wheels
Companion cards linked to mobile money: Offering relevancy and aspiration to tech-savvy customers in the Philippines
'Irregular income affecting financial inclusion'
Mexico to Accelerate Path to Financial Inclusion
FinTech and Financial Inclusion
Aquino signs law institutionalizing financial inclusion committee
How Is Technology Connecting Lives in Latin America?

Section III: Research – surveys and studies on expanding access to financial services

Are Mobile Money Wallets Really Customer-Centric?
Sunil Bhat and Mohit Saini, MicroSave, June 01, 2016

The monthly newsletter from the Indicus Centre for Financial Inclusion documents the latest news and views in the financial inclusion space. Editor: Sumita Kale can be contacted at The Indicus Centre for Financial Inclusion was launched in 2011 to distil and disseminate information on accelerating the poor’s access to high-quality financial services. The Centre is supported by the Bill & Melinda Gates Foundation.

© Indicus Centre for Financial Inclusion. All rights reserved. 3rd July 2016

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