Union Budget 2022: Digital Banking Units to Be Set Up in 75 Districts by Scheduled Commercial Banks

The agenda marks 75 years of India’s independence.

By ANI | Updated: 1 February 2022 14:50 IST

Union Budget 2022: Digital Banking Units to Be Set Up in 75 Districts by Scheduled Commercial Banks

It is proposed to set up 75 Digital Banking Units in 75 districts of India by Scheduled Commercial Banks

Highlights

CBDC will give a big boost to the digital economy
There will also be a focus to promote the use of payment platforms
75 digital banking units will be set up

Union Finance Minister Nirmala Sitharaman on Tuesday announced the introduction of Digital Rupee which will be issued by the Reserve Bank of India starting 2022-23, along with the setting up of 75 digital banking units in 75 districts by scheduled commercial banks.

Sitharaman, as per a release of Union Finance Ministry, said that in recent years, digital banking, digital payments, and fintech innovations have grown at a rapid pace in the country, and the government has been continuously encouraging them to ensure that the benefits of digital banking reach every nook and corner of the country in a consumer-friendly manner.

Taking forward this agenda, and to mark 75 years of our independence, the Finance Minister announced that it is proposed to set up 75 Digital Banking Units (DBUs) in 75 districts of the country by Scheduled Commercial Banks.

[Sponsored] Samsung Galaxy S24: The Ultimate Camera Phone With Smarter On-Device AI

During the presentation of the Union Budget 2022-23 in the Parliament today, the Finance Minister said that the Central Bank Digital Currency (CBDC) will give a big boost to the digital economy.

"Digital currency will also lead to a more efficient and cheaper currency management system," she stated while adding that digital currency will use blockchain and other technologies.

Further, Sitharaman announced that in 2022, 100 percent of 1.5 lakh post offices will come on the core banking system enabling financial inclusion and access to accounts through net banking, mobile banking, ATMs, and will also provide online transfer of funds between post office accounts and bank accounts.

Starting July 1, 2022, These RBI Rules Apply for Online Card Transactions

"This will be helpful, especially for farmers and senior citizens in rural areas, enabling interoperability and financial inclusion," she said.

As for the digital payments, the Finance Minister assured that the financial support for its ecosystem announced in the previous Budget will continue in 2022-23.

"This will encourage further adoption of digital payments. There will also be a focus to promote the use of payment platforms that are economical and user friendly," she said.

Why is 5G taking so long? We discuss this on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.

Affiliate links may be automatically generated - see our ethics statement for details.

Comments

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.