Fino-Paytech which is running its operation under payment bank license from 2016-17, today got the approval from RBI to become scheduled commercial bank. The Reserve Bank of India has announced through a notification issued dated February 22 that Fino Payments Bank has been included in the Second Schedule to the Reserve Bank of India Act, 1934.
The management has termed this development as a reiteration of the bank’s robust processes, Mr. Rishi Gupta, MD & CEO, Fino Payments Bank said, “We are extremely thankful to the central bank for the inclusion of Fino in the second schedule. It provides strategic impetus for Fino Payments Bank to enhance its scope on balance sheet management and explore additional avenues for business. We are keen to capitalise on the growth opportunities that exist within the regulatory guidelines and build on the momentum of consistent profitability achieved last fiscal.”
We at UnlistedZone are in view that it will be a golden opportunity for banks to tap government businesses, give loans in the market and take deposit more than 1 lakh which were some of the limitation in payment bank license. Overall, we can say revenue and profitability will grow from here.