On Saturday, Prime Minister Narendra Modi launched the India Post Payments Bank (IPPB). Aimed at bringing India's rural population into the country's formal financial system, IPPB will have 650 branches and 3250 Access Points across the nation.
All of India's 1.55 lakh post offices will be linked to the IPPB system by December 31, 2018, thereby enabling banking services in the remotest of areas.
But it is pertinent to note that post offices in India have already been offering savings account facilities. And, both a Post Office Savings Account (POSA) and an IPPB savings account offer 4 per cent interest on deposits, payable quarterly.