IPPB has been incorporated as a public limited company under the Department of Posts with 100 per cent Government of India equity. The vacancy will be created on March 31, according to the advertisement.
Banks Board Bureau (BBB), the headhunter for state-run banks and financial institutions, has invited applications for the post of managing director of India Post Payments Bank (IPPB). IPPB has been incorporated as a public limited company under the Department of Posts with 100 per cent Government of India equity. The vacancy will be created on March 31, according to the advertisement.
Incumbent Suresh Sethi, a former MD of Vodafone M-Pesa Ltd, was appointed as MD of IPPB by the government in October 2017. The term of office of the holder of the post shall be for five years subject to the age of superannuation as 60 years. The term may be further extended by a further period of five years after reviewing performance, according to the advertisement. Fixed component of the compensation will be in line with compensation of MD of public sector banks or additional secretary of Government of India.
The last date for submitting the complete online application is January 31, 2020. The postal department has decided to convert the IPPB into a small finance bank, enabling it to offer small loans to customers. Viability of the payments-bank model has constantly been under question, it came more out in the open when Aditya Birla Payments Bank shut shop after just 17 months of operations.
Besides, the department in August, 2019 set a target to open one crore accounts for IPPB in 100 days. Prime Minister Narendra Modi launched the IPPB in September, 2018 with a view to promote financial inclusion. The BBB is headed by B P Sharma, former secretary of the Department of Personnel and Training.
Prime Minister Narendra Modi, in 2016, approved the constitution of BBB as a body of eminent professionals and officials to make recommendations for appointment of whole-time directors as well as non-executive chairpersons of public sector banks (PSBs). It was also entrusted with the task of engaging with the board of directors of all PSBs to formulate appropriate strategies for their growth and development.