RBI releases guidelines on establishment of Digital Banking Units

Mumbai (Maharashtra) [India], April 7 : The Reserve Bank of India (RBI) on Thursday issued guidelines for the establishment of 'Digital Banking Units' as announced in the Union Budget 2022-23 by Finance Minister Nirmala Sitharaman earlier this year.
In the Union Budget 2022-23 the finance minister made announcements for setting up of 75 Digital Banking Units (DBUs) in 75 districts to commemorate the 75 years of independence of the country.
In pursuance of the budget announcement a 'Committee for the establishment of Digital Banking Units (DBUs)' was set-up by the Reserve Bank to outline a roadmap for the establishment of DBUs.
The Committee after necessary consultations and deliberations gave its recommendations on different aspects of DBU viz., the digital banking unit model, facilities to be offered in DBUs, monitoring of functioning of DBUs, cyber security and other IT related aspects, role of DBU in the spread of digital banking awareness, etc.
"Based on the recommendations of the Committee, the guidelines on 'Establishment of Digital Banking Units' have been finalised," RBI said in a statement.
Digital Banking Unit is a specialised fixed point business unit/hub housing certain minimum digital infrastructure for delivering digital banking products & services as well as servicing existing financial products & services digitally, in both self-service and assisted mode, to enable customers to have cost-effective/ convenient access and enhanced digital experience to/ of such products and services in an efficient, paperless, secured and connected environment with most services being available in self-service mode at any time, all year round.
As per the guidelines released by the RBI, the Digital Banking Units of the banks will be treated as banking outlets.