India Post Payments Bank records rapid growth


Daijiworld Media Network - New Delhi

New Delhi, Aug 26: India Post Payments Bank (IPPB) has registered impressive growth in the last two years, clocking a compound annual growth rate of 60–70%, according to officials during a review meeting chaired by Minister of State for Communications, Dr Chandra Sekhar Pemmasani on Tuesday.

The minister was briefed on the bank’s expanding role in financial inclusion, especially in rural and underbanked areas. The IPPB currently serves over 12 crore customers, holds deposits nearing Rs 20,000 crore, and has recorded revenue of Rs 2,200 crore and a profit of Rs 134 crore, despite operating with a lean team of just 1,250 employees.

Dr. Pemmasani acknowledged the efforts of IPPB and India Post in delivering affordable, accessible financial services to remote parts of the country, aided by a vast network of 1.64 lakh post offices and frontline workers including postmen and Gramin Dak Sevaks (GDS).

“These services ensure that even the most remote households in India can access both banking and postal facilities without travelling long distances,” the minister said.

Expanding Credit Access in Rural India

The IPPB has begun providing credit services in partnership with leading financial institutions such as HDFC Bank, Axis Bank, Aditya Birla Capital Finance, and Aadhaar Housing Finance. Loans available include:

• Home and personal loans
• Auto and gold loans
• Agricultural and tractor loans
• Commercial vehicle loans
• Kisan Credit Cards (KCC)

In June 2025 alone, more than 150 loans worth Rs7 crore were disbursed. Efforts are also underway to develop low-cost digital credit products tailored for microbusinesses and rural entrepreneurs.

A Trusted Rural Banking Backbone

Dr. Pemmasani stressed the need for enhanced coordination between India Post and IPPB to maintain service reliability and affordability at the last mile. He reiterated that last-mile reach, financial inclusion, and public trust remain central to the government's mission.

The IPPB, together with India Post, continues to offer key services like:

• Money transfers
• e-KYCs for Post Office Savings schemes
• Digital Life Certificates (DLCs) for pensioners
• Utility bill payments

Officials informed the minister that both organisations are working toward evolving into a digitally-driven financial services powerhouse, through new partnerships, innovative products, and continued rural outreach.

The initiative is part of a larger effort to ensure that India's financial ecosystem becomes truly inclusive, leveraging India Post’s infrastructure to bridge the urban-rural divide.

  

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