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Government Urges Banks to Expand End-to-End Digital Loan Processing
The government wants banks to make it easier for people to use banking services digitally.
It asked banks to work toward handling loans from start to finish online.
Officials also reviewed programmes that provide banking, insurance, pensions, and loans to people and small businesses.
They discussed using digital tools to provide working capital to small businesses.
Banks were asked to explain insurance benefits clearly and help eligible families receive payouts.
New enrollees in two insurance programmes should be registered through a government portal.
Banks were also asked to help people in villages without banking services.
A financial inclusion campaign is scheduled to run from October 21 to December 31.
The Department of Financial Services urged banks to strengthen digital outreach and work toward end-to-end digital loan processing.
Secretary Sanjay Lohiya made the call at a review meeting in New Delhi on October 6.
The meeting reviewed financial inclusion schemes, banking access in underserved villages, and digital working-capital options for small businesses.
Lohiya urged private banks to participate more in inclusion programmes and banks to improve insurance-claim awareness and handling.
Banks were asked to enrol new beneficiaries in two Jan Suraksha insurance schemes through the Jan Suraksha portal and support a campaign running October 21 to December 31.
- Who
- The Department of Financial Services and Secretary Sanjay Lohiya, addressing public and private sector banks.
- What
- Banks were urged to expand digital outreach and move toward end-to-end digital loan processing, alongside other financial inclusion measures.
- Where
- New Delhi.
- When
- The review meeting was held on October 6; the upcoming campaign is scheduled for October 21 to December 31. The year was not specified.
- Why
- To deepen financial inclusion and improve access to banking and financial services.
Key facts
- Meeting date
- October 6; year not specified
- Meeting location
- New Delhi
- Meeting participants
- Heads of public sector banks and executive directors of major private sector banks
- Digital lending focus
- Move toward end-to-end digital loan processing
- Digital small-business finance
- Working capital through digital channels, including credit lines on UPI and credit cards for micro-enterprises
- Insurance enrolment
- New beneficiaries of Pradhan Mantri Jeevan Jyoti Bima Yojana and Pradhan Mantri Suraksha Bima Yojana should be enrolled through the Jan Suraksha portal
- Campaign period
- October 21 to December 31; year not specified
Sources
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