Tamil Nadu to seek payment banking licence, could be first state to get it

TheTamil Nadugovernment is planning to seek a payment bank licence soon from theReserve Bank of Indiato help it efficiently manage its funds and effectively monitor its disbursal, while implementing welfare measures for the needy.

The finance minister had stressed on the need, while presenting the revised budget on August 13 this year, for linking the 250-odd sub-treasuries for effective monitoring of disbursal and .

In order to prevent recurrence of such instances of idle non-utilisation of funds in the future, direct disbursal of funds from the government treasury to the ultimate beneficiaries will be soon done through anIntegrated Financial andHuman Resources Management System (IFHRMS).