Indian post offices to have core banking system

NEW DELHI, INDIA: Union Minister for IT and Communication, A Raja, today said post offices in the country will soon begin core banking system.

“We will shortly begin core banking of post offices saving banks,” said the minister after rededicating the Parliament Street head post office to the public under ‘Project Arrow’.

“Our aim is to change and transform post offices all over the country to be better places for people to go to and where work can be done efficiently,” said Raja.

The minster assured that around 4000 post offices in the country would be brought under core banking solutions within next three years.

‘Project Arrow’ envisages upgradation of 500 post offices both in urban and rural areas from 11 circles in terms of physical ‘look and feel’, conducive and friendly work environment both for staff and the customers visiting the post offices.

This will include providing IT enabled services through secure connectivity, improving the service quality levels in the core business area like mails, remittances and postal savings. These 500 post offices would be equipped with modern computer hardware and software required for running daily operations.

Modernization work of 50 post offices was to be completed before August 15, 2008, but it could be done only this year. The Department of Posts claims that in Delhi, 36 post offices have undergone complete overhaul in their look and feel as in their core functions and operation. These post offices have been provided with computer hardware and single window service system has been attempted with a view to reduce waiting time for customers.

Another 30 post offices are not going to have complete change in their look and feel but their functioning is said to have improved to meet the service norms devised by the department.

To improve customer interaction, the post offices employees, particularly the front line staff, have been sensitized and imparted training in soft skills and IT, said the department officials.

Raja admitted that the process of modernizing post offices will take time but it is now in the direction in which post offices will be moving for development.

“Since there are large number of post offices in the country, including Delhi, we cannot change everything at onces. Plan funds are required and as per availability of funds we could change things in a phased manner. But the gradual change has already begun,” said Raja.

He said he had recently approved the proposal for setting up of new automatic mail processing centres at Delhi and Kolkata at the cost of Rs 65 crore. New machines will be installed in 10 major cities.

The minister has also approved appointment of an IT consultant for India Post for the planning and execution of integrated IT solutions, which will aim to create seamless integration of the postal network.

“More than 12,000 post offices in the country have been already computerized. Under the 100 days agenda of the Prime Minister, I have made commitment of behalf of the department for networking of 1,25,000 branch post offices in the rural areas for proving financial as well as state social security schemes,” said Raja.