In a move to consolidate its presence in financial services, Gold loan non-banking financial company (NBFC) Muthoot Finance, has applied for white label ATMs (WLAs) license to the Reserve Bank of India ( RBI), as mentioned in a media report. White label ATMs are the one’s owned and operated by non-banking entities. According to the current policy, only banks can establish and operate the ATMs.
This development comes in the light of central bank deciding to allow non-banks, whose net worth is at least Rs 100 crore, for setting up and operate ATMs for increasing the per capita availability and also increasing their penetration in tier-III to tier-VI towns and villages, earlier this year.
Recently, the company inked pact with the Pension Fund Regulatory and Development Authority (PFRDA) to offer the National Pension Scheme (NPS). After this tie up, Muthoot Finance becomes the only NBFC in Kerala to be approved by the PFRDA to act as a service provider for the pension plan.
