Union Cabinet permits 100 percent FDI for white label ATMs [ Current Affairs ]
About White label ATMs: Generally, Automated Teller Machines (ATMs) have individual bank’s logo like SBI’s ATM, ICICI’s ATM etc. But White label ATMs have not this type of Bank logo and so it called White label ATMs.
- This white label ATMs got permission by RBI.
- Any non - bank unit which has cost of Rs. 100 crore can apply for white label ATMs.
- In 2012, RBI issues guideline for White label and in 2013, RBI gives license to white label ATMs.
- The first company which got RBI’s permission to open White label ATMs is Tata Communications Payment Solutions Limited.
- Other White labels are Muthoot Finance, Srei Infra. , Vakrangee Software, Prizm Payments and AGS. More than 15 companies given such permission.
About permission of 100 percent FDI:
- The Union Cabinet gives permission of 100 percent foreign direct investment (FDI) under the automatic route for white label ATM operations.
- This decision will speed up and easiness FDI entries in white label ATM operations.
- It will also give a reason to the government’s motivated strength to promote financial insertion in the country.
- Published on: September 10, 2015