Almost 85 per cent of country's cash dispensing machines had been recalibrated to fit the new notes till November 30 and the government has also advised banks to set up micro ATMs in rural areas to meet the cash need post demonetisation, Parliament was informed today.
Almost 85 per cent of country’s cash dispensing machines had been recalibrated to fit the new notes till November 30 and the government has also advised banks to set up micro ATMs in rural areas to meet the cash need post demonetisation, Parliament was informed today.
As on September 30, 2016 there were 2,11,594 ATMs of banks and 14,324 white label ATMs working across the country. “There are 1,79,614 ATMs which have been recalibrated till November 30, 2016,” Minister of State for Finance Santosh Kumar Gangwar said in a written reply to the Lok Sabha.
Gangwar said the government has advised banks to deploy micro ATMs in rural areas in all sub-service areas across the country. He also informed the house that 1,14,036 micro ATMs have already been deployed as on December 2, 2016.
On being asked about the norms to set up ATMs, he said scheduled commercial banks, excluding regional rural banks, do not need the RBI permission to install ATMs at branches and extension counters.
The scheduled commercial banks can also install off-site ATMs without permission of the RBI subject to certain conditions, he added.
Besides, non-bank entities incorporated in India are also allowed to set up, own and operate ATMs that are known as White Label ATMs (WLAs).
In a separate question’s reply in the House on cost of printing currency, Minister of State for Finance Arjun Ram Meghwal said the rates paid for printing of banknotes by different presses are different.
“The reasons for these differences are that the cost of production varies due to many factors including the age of machines, capacity of plant, level of automation and manpower employed,” Meghwal said.
However, the pricing is reviewed periodically by the RBI and the prices for the supply of banknotes are paid on the basis of cost plus approach, return on investment and return on capital, he added.