President Droupadi Murmu on Tuesday said that despite progress in banking sector, several challenges were still faced in terms of digital literacy and financial awareness among the public. Empowerment of farmers and rural economy should be a priority for the banking sector, Murmu said at the 120th Foundation Day celebrations of Tamil Nadu-based City Union Bank here.
Banks and financial technology companies offer user-friendly mobile applications and insurance products tailored for underserved communities.
Payment banks, digital wallets and banking correspondents have taken financial services to the doorsteps of remote villages, she said.
"With combined efforts of all stakeholders, people can be better integrated with banking services through technology, digital and financial literacy," she added.
She also underscored the crucial role banks can play in transforming Micro, Small, and Medium Enterprises (MSMEs) into engines of growth. By providing timely and affordable credit, offering financial literacy, and supporting agri-tech initiatives, banks can help make agriculture sustainable and profitable. She added that specialised branches, farmer-friendly products, and digital platforms for rural users could significantly help bridge the rural-urban divide.
Murmu stressed that the banking industry's role has expanded beyond simple financial transactions to become instrumental in achieving inclusive and sustainable development. She said: "Banks are not just custodians of wealth. They can offer several financial services".
"From startups to smart cities, there is a whole range of areas in which banks can help. Banks can become active partners in the making of a developed India," she added.
Murmu also called for additional measures to support underprivileged and marginalised communities, urging that special efforts be made to better integrate daily wage earners and migrant labourers into banking services. She pointed to the PM SVANidhi scheme, which has been empowering street vendors by promoting financial inclusion, noting that its benefits have now been extended until March 2030. The scheme, fully funded by the Ministry of Housing and Urban Affairs, aims to provide working capital loans of up to ₹15,000, and incentivises timely repayment and digital transactions.
Tamil Nadu Governor RN Ravi, Union Finance and Corporate Affairs Minister Nirmala Sitharaman, TN Minister for Social Welfare and Women Empowerment Geetha Jeevan, City Union Bank Chairman G. Mahalingam, and the bank’s MD and CEO N Kamakodi were also in attendance.
Also read: Prez Murmu to Siddaramaiah: Will learn Kannada ‘little by little’
Follow us
