Mumbai, Jan 2 (KNN)  Having received several requests seeking extension of time for submission of applications for Small Finance Banks and Payment Banks, the Reserve Bank of India has extended the last date for receipt of applications to February-2.

The earlier deadline was January 16, 2015.

“Keeping in view the difficulties expressed by various parties, it has been decided to extend the last date of receipt of applications to February 2, 2015,” the apex bank said in a notification on January-1.

Accordingly, applications will be accepted till the close of business as on February 2, 2015, it said.

The guidelines for licensing of payment banks were issued on November-27, 2014.  In it, the central bank stated that the objectives of setting up of small finance banks will be to further financial inclusion by provision of savings vehicles, and supply of credit to small business units; small and marginal farmers; micro and small industries; and other unorganised sector entities, through high technology-low cost operations.

The guidelines had come as a follow up of the Finance Minister’s announcement in the Union Budget 2014-15 when he said that “RBI will create a framework for licensing small banks and other differentiated banks. Differentiated banks serving niche interests, local area banks, payment banks etc. are contemplated to meet credit and remittance needs of small businesses, unorganized sector, low income households, farmers and migrant work force.” (KNN/ES)