Axis Bank, PayNearby partner to take banking to rural and remote areas

• The partnership aims to help customers and retailers in rural regions easily open and operate savings, current bank accounts.
• The development will simplify banking for local retail shop owners and individuals who can now avoid traveling long distances to operate bank accounts.
• Financial inclusion in unserved and rural segments of the society has been the focus of the government, RBI and the banking sector alike.

Axis Bank today partnered with PayNearby, a fintech platform to provide banking services to rural customers.

PayNearby is known to provide branchless and digital banking services to rural customers. The partnership will help rural consumers and retailers open bank accounts at nearby local stores via Aadhaar-led authentication (eKYC).

“Our partnership with PayNearby will enable us to extend our banking services to a huge customer base in semi-rural and rural regions and offer them an array of facilities along with the opening of a bank account,” Munish Sharda, group executive and head - Bharat Banking at Axis Bank.

This partnership will also help them reach out to potential customers in remote regions of the country, address common issues faced by them such as hassle of documentation, long processes, and fear of a formal environment, the press release says.

Anand Kumar Bajaj, founder, MD & CEO at PayNearby, said, “For India to become financially and digitally empowered at the last mile, it is important that the local retailers are given the necessary tools for their growth.”

The development will simplify banking for rural customers who can now avoid traveling long distances to operate bank accounts.

Financial inclusion drive especially in rural areas
Financial inclusion in the unserved and rural segments of the society has been the focus of the government, RBI and the banking sector alike.

The RBI governor Shaktikanta Das too had addressed the need for banks to collaborate with fintechs at a Bank of Baroda conference on July 25.

“The Indian banking system has undergone significant changes. The increased adoption of technology by traditional banks to self upgradation or collaborating with fintechs is resonating with the idea of new age banking. This is leading to innovative products and services and newer business models,” said Das.

Several large banks are making efforts towards financial inclusion. Recently, HDFC Bank introduced 'Bank on Wheels' vans which will visit remote villages located 10-25 kms from the nearest branch, to further accessibility.

According to reports, public sector banks are expected to open around 300 brick-and-mortar branches in the unbanked areas of various states by December 2022.

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