India Post in talks with BSNL to use its platform for payments bank

India Post is close to striking a pact with state-run telecom company Bharat Sanchar Nigam Limited (BSNL) to use its platform to roll out payment bank services and launch them by March 2016. It is also open to aligning with private telcos like Bharti Airtel and Vodafone India.

“BSNL is our preferred partner but we are also in talks with Bharti Airtel and Vodafone. We are in advance talks with BSNL. However, we are yet to work out on operational issues,” said MS Ramanujan, member (banking), India Post.
A top BSNL official also confirmed that they are in talks with India Post but are yet to work out the revenue sharing model. “We are not investing anything in the payment bank services of India Post. There is no capex. They will benefit from the technology and expertise we have and that we would deliver,” said a BSNL official.

The postal department has already moved a Cabinet note for approval of Rs 650 crore as investment in the proposed payments bank. “We will need at least Rs 100 crore as equity capital and Rs 200 crore for setting up the payment bank,” he said