In a significant development, Bandhan Bank has been granted authorization by the Reserve Bank of India (RBI) to serve as an authorized pension disbursement bank. This authorization is in association with the Central Pension Accounting Office (CPAO), a part of the Ministry of Finance. The bank is set to collaborate closely with the CPAO to initiate and streamline the process of disbursing civil pensions.
Empowering Financial Services for Civil Pensioners
Bandhan Bank’s newfound role as an authorized pension disbursement bank bears substantial implications for a range of beneficiaries. This authorization enables the bank to effectively disburse pensions to a variety of recipients:
Central Government Employees: The bank is entrusted with the responsibility of disbursing pensions to retired individuals from Civil Ministries and Departments, excluding Railways, Posts, and Defence.
- Territorial Scope: Bandhan Bank’s role extends to pension disbursement for the National Capital Territory of Delhi and Union Territory Administrations without legislatures.
- Judicial Retirees: Retired Judges from the High Courts and the Supreme Court are also covered under this scheme, ensuring their pension payments are managed efficiently.
- All India Service Officers: The bank’s authorization encompasses the disbursement of pensions to All India Service Officers, catering to their financial needs post-retirement.
- Former Parliament Members: This scheme extends its coverage to the payment of pensions for former Members of Parliament, ensuring their financial well-being after their tenure.
Distinguished Leaders: Additionally, pensions and various amenities for former Presidents and Vice Presidents of India fall within the purview of this scheme.
Bank’s Commitment to Streamlined Service
Debraj Saha, the Head of Government Business at Bandhan Bank, expressed the institution’s commitment to ensuring efficient pension disbursement. Saha highlighted the pivotal role the bank now plays in securing retirees’ financial stability during their golden years. The bank’s enhanced capability to provide streamlined, secure, and prompt services is poised to benefit retirees significantly. Saha extended gratitude to regulatory authorities for entrusting the bank with this crucial mandate.