The Reserve Bank of India has delayed the deadline for banks to use lockable cassettes in their ATMs that can be swapped during cash replenishment by a year, till March 31, 2023. The decision was made after the RBI received representations from various banks and the Indian Banks’ Association noting difficulty in achieving the deadline, according to a notification released yesterday.
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KEY POINTS:
- It has instructed the banks to establish an internal roadmap that has been approved by the Board in order to meet the extended deadline and submit a quarterly status report, and it has requested the banks’ boards to monitor progress to assure compliance.
- Most ATMs are currently replenished via open cash top-ups or by placing cash into the machines on the spot. The RBI requested that this approach be replaced by guaranteeing that lockable cassettes are swapped when currency is replenished in ATMs.
- Previously, banks were expected to begin using lockable cassettes in a gradual way, with at least one-third of their ATMs protected by March 31, 2021. The deadline was later extended until March 31, 2022.