Full-stack ‘digital banks’
Part of: Prelims and GS-III- Economy
Context NITI Aayog recently proposed setting up of full-stack ‘digital banks’.
- Such banks would principally rely on the Internet and other immediate channels to offer their services and not physical branches.
- The proposal was made to mitigate the financial deepening challenges being faced in the country.
- Such Digital banks will issue deposits, make loans and offer the full suite of services that the Banking Regulation Act empowers them to.