Empowering Cooperative Banks: Expanding Aadhaar Services to Rural India

Cooperative banks will now have the opportunity to offer Aadhaar-enabled payment services, thanks to a new framework introduced by the Unique Identification Authority of India (UIDAI). This initiative strives to bolster digital financial services within rural and semi-urban areas.

Speaking at a workshop in New Delhi, Cooperation Ministry Secretary Ashish Kumar Bhutani noted that this development aims to empower cooperative banks, making them more self-reliant and proficient as financial institutions. The initiative aligns with the government's commitment to inclusive growth.

The revised framework resolves issues that previously hindered cooperative banks from partaking in the Aadhaar authentication ecosystem, primarily due to compliance and cost constraints. With input from the Ministry of Cooperation, NABARD, NPCI, and cooperative banks, UIDAI developed this streamlined system to facilitate broader adoption of Aadhaar-enabled services.

(With inputs from agencies.)