India Post & IPPB driving last-mile banking: MoS
Published: Aug 27, 2025
By TIOLCorplaws News Service
NEW DELHI, AUG 27, 2025: THE Minister of State for Communications, Dr. Chandra Sekhar Pemmasani, reviewed the performance of India Post and India Post Payments Bank (IPPB) yesterday. The discussions focused on digital initiatives, customer convenience, and ways to make services more accessible across the country.
The Minister highlighted the need for closer coordination between India Post and IPPB so that citizens, especially in remote areas, continue to receive affordable and reliable services at their doorstep. He underlined that trust, financial inclusion, and last-mile reach remain the key priorities.
Union Minister of State for Communications and Rural Development, Dr. Chandra Sekhar Pemmasani, reviewed the performance of India Post and India Post Payments Bank (IPPB)
Performance Update
Officials informed the Minister that IPPB has expanded rapidly in recent years. With over 12 crore customers, deposits of nearly Rs.20,000 crore, revenues of Rs.2,200 crore, and a profit of Rs.134 crore, the Bank has posted a compound annual growth rate of 60–70% over the last two years.
Despite challenges in the sector, IPPB has managed this growth with a lean workforce of about 1,250 employees, backed by the unmatched reach of India Post.
Expanding Credit Access
The Minister was informed about IPPB's initiatives in extending credit facilities in rural and underbanked areas in partnership with HDFC Bank, Axis Bank, Aditya Birla Capital Finance and Aadhaar Housing Finance, among others, to offer a range of loans, including home, personal, auto, agri, Kisan Credit Card (KCC), gold, tractor, and commercial vehicle loans.
In June 2025 alone, over 150 loans amounting to Rs.7 crore were disbursed, and work was also underway to design small-ticket digital credit products to support rural entrepreneurs and micro businesses, said officials.
Glimpse from the review meeting of India Post and India Post Payments Bank (IPPB)
Digital & Postal Integration
The Minister also appreciated the joint efforts of India Post and IPPB which comprises over 1.64 lakh Post Offices and access points, supported by Postmen and Gramin Dak Sevaks (GDS) in providing services such as Utility bill payments, Money transfers, e-KYCs for Post Office Savings Bank schemes and Digital Life Certificates (DLC) for pensioners for people, especially in rural areas
'These services ensure that even the most remote households in India can access both banking and postal facilities without travelling long distances,' he added.
Officials apprised the Minister that India Post and IPPB were working towards evolving into a stronger, digitally driven financial services provider and that by expanding partnerships, introducing new products, and building on their unmatched reach, the two institutions aim to play a central role in taking banking and postal solutions to every corner of the country.
