BTI Payments Private Ltd, a joint venture between Banktech Group and ICICI Ventures, plans to launch 3,000 white label ATMs (WLAs) across the country in fiscal 2014, K Srinivas, managing director and CEO, BTI Payments Private Limited, stated on Thursday.
The first ATM has been installed at Gubbi in Tumkur district of Karnataka plans to install a total of 9,000 ATMs in the next three year period.
The company from its barrio launched its WLAs in Karnataka on Thursday as part of commencing services in the country.
BTI Payments from its quarter is one of the early entrants into WLAs, having received RBI authorisation on February 12 this year.
“Of the 9,000 ATMs we plan to roll out over the next three years, three out of every four ATMs will be installed in towns with a population of less than 50,000.Going forward, BTI Payments will add a number of value-added services like insurance payments, train tickets and mobile payments,” Srinivas alleged.
The so-called white label ATMs are cash machines operated by non-banking entities. The Reserve Bank of India from its part had issued public draft guidelines over two years ago on white label ATMs in a bid to widen access to financial services.
The final guidelines were released in June 2012 and were aimed at increasing the footprint of ATMs in semi-urban and rural regions.
The non-banking entities have been mandated by RBI to open 67 per cent of the WLAs in rural locations and 33 per cent in urban areas.
Srinivas held that BTI Payments is also pushing the concept of “ATM in a Shop”, with ATMs located in kirana shops and other small stores.
On record, the company has launched two such ATMs in Tiptur and Arsikere in Tumkur district.
A P Hota, MD & CEO, National Payments Corporation of India (NPCI) purported that, “The white label ATM initiative of the Reserve Bank of India envisions increased access of financial services to underserved markets and segments. NPCI has been at the forefront of this agenda and has launched several easy to use and affordable payments initiatives such as Rupay, IMPS and NFS.”