RBI to ask banks to hold Aadhaar camps

To help the government meet its objective of covering the maximum number of people under the direct benefit transfer (DBT) scheme, the Reserve Bank of India on Friday asked banks to hold camps to open Aadhaar-based accounts.

Unveiling the annual monetary policy today, RBI governor D Subbarao said, "With a view to facilitate the DBT it is proposed to advise banks to open accounts for all eligible individuals in camp mode with the support of local government authorities."

The banks would be asked to seed the existing accounts or the new accounts with Aadhaar numbers and also put in place an effective mechanism to monitor and review the progress in the implementation of DBT.

Implementation of the financial inclusion plan (FIP) 2010-13, introduced for the first time in April 2010, has led to the establishment of banking outlets in over 2 lakh villages, the apex bank said.

To take it to the next stage - providing universal coverage and facilitating electronic benefit transfer (EBT) - banks have been advised to draw up the next FIP for 2013-16.

To link the financially excluded segment with the banking system, a model for conduct of literacy camps by banks has been designed, it said.

To ensure consistency in the financial literacy material reaching the target audience, Reserve Bank has also prepared comprehensive financial literacy material consisting of a financial literacy guide, a financial diary and a set of 16 financial literacy posters.