Lok Sabha Question No. 116 (UNSTARRED), answered on 2022-07-18
Subject: Awareness on Safe Digital Banking
Ministry: FINANCE
Asked by: Poonamben Hematbhai Maadam

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES

## LOK SABHA UNSTARRED QUESTION NO. 116

ANSWERED ON MONDAY, JULY 18, 2022 / ASHADHA 27, 1944 (SAKA)

## Awareness on Safe Digital Banking

## 116.SHRIMATI POONAMBEN MAADAM:

Will the Minister of FINANCE be pleased to state:

- (a) whether the Government is taking steps to create awareness about safe digital banking and payment products;
- (b) if so, the details thereof; and
- (c) the details of the steps being taken regarding electronic Banking Awareness and Training based on the outcome of Financial Literacy and Inclusion survey conducted by the Reserve Bank of India?

## Answer

## THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (DR BHAGWAT KARAD)

(a) to (c) Promotion of digital payment is one of the priorities of the Government to facilitate hassle free and seamless banking transactions for the people of the country.

A  pan-India  Financial  Literacy  and  Inclusion  survey  was  conducted  by  National Centre for Financial Education (NCFE) in 2018-19, to assess the status of financial literacy and inclusion in the country.

Several initiatives  are  being undertaken  in an ongoing manner  by  Reserve Bank of India (RBI) and Banks to promote and create awareness about digital payments in the country. Some of these initiatives are as follows:

## Initiatives taken by RBI:

- i. RBI conducts Electronic Banking Awareness and Training (e-BAAT) programmes  through  its  regional  offices to create awareness  about  digital payments  and  target  audience  includes  rural  area  population.  The  focus  of  this training  includes  topics  on  safe  practices  while  using  digital  payment  products, Cyber  hygiene,  customer  protection,  grievance  redressal  mechanisms  etc.  The target  audience  includes  cross  section  of  the  society  consisting  of  bank  staff, customers, government officials, students, Self Help Groups, farmers, shopkeepers, traders and the common man. From 2019 till date, a total of 869 eBAAT programmes were conducted by various Regional Offices of RBI.
- ii. RBI has been also carrying out multi-channel public awareness media campaigns under the aegis of 'RBI Kehta Hai' by television, radio, online, SMS and social media posts, whereby public is sensitised about how to be vigilant while using digital products such as mobile banking, ATMs, internet banking, etc., and how digital frauds could be averted.
- iii. RBI has carried out multi-lingual media campaigns on themes like 'Convenience of Digital Banking', 'Switch On / Off and Setting Transaction Limits' facility for card transactions, and 'Safety of Digital Banking' among others, through various advertisements issued in major newsprints.
- iv. Centre  for  Financial  Literacy  (CFL)  project: To  have  an  exclusive  focus  on financial literacy at the block level through brick and mortar Centres, CFLs have been set-up by RBI at the block level. A total of 1107 CFLs have been set up across the  country  as  on  June  30,  2022.  Awareness  about  digital  banking  is  one  of  the  areas covered under the CFL project.

## Initiatives taken by Banks:

- i. Financial Literacy Camps (FLCs): Banks have been advised to conduct special camps through their FLCs (2 camps per month on 'Going Digital' through UPI and *99# (USSD) including tailored camps for different target groups viz., farmers, Micro  and  Small  entrepreneurs,  school  children,  Self  Help  Groups  and  Senior citizens.
- ii. Rural Branches of banks are required to conduct one camp per month covering all the messages that are part of Financial Awareness Messages (FAME) booklet and the two digital platforms UPI and *99# (USSD).
- iii. Banking Correspondents (BCs) led initiative: A strong network of about 5.2 lakh BCs, representing the last mile connect in the Banking Services delivery system is also creating awareness while facilitating transactions in the rural areas, because of their familiarity with Local/Rural population.