To further improve the banking penetration through alternate channels, Reserve Bank of India has permitted non-bank entities to set-up White Label ATMs (WLAs), to operate as Business Correspondents and to facilitate large scale use of electronic banking and alternate delivery channels. Under the new bank license policy of the Reserve Bank, new entities are expected to enhance the banking penetration in India.
These measures are also expected to provide platforms for launching innovative processes, partnerships and products for ensuring a deeper financial sector with a focus on sustainable financial inclusion. Enriched access to the financial sector is expected to enable the marginal population to deal better with uncertainties, enhance their productivity and bring them to the mainstream of the growth process.