Inter Mobile Payment System, known as IMPS in short has been launched in India. The move has been initiated by National Payment Corporation of India (NPCI). To begin with seven Indian banks have started the service.
These seven Indian banks include State Bank of India, ICICI Bank, Union Bank of India, Bank of India, Yes Bank, Axis Bank and HDFC Bank. The concept of IMPS will popularize the concept of mobile payment in India and as per the expectations of the RBI, more and more people are expected to be taken into the banking fold. With the introduction of IMPS, people will be able to make payments to another person with the help of his mobile phone.
But as far as banking in real India is concerned, 65% of the Indians do not have any bank account. Of late, Finance Minister Pranab Mukherjee has asked the banks to open a branch in those rural areas where the population exceeds 2000. This is the scenario of banking among the 65% of the Indians.
So, the concept of IMPS is definitely a good initiative for a few urban people to use the facility. But considering the complications of the matter and operational procedure, doubts are there that how many people in real terms will actually use the facility. Most people still prefer the traditional banking methods of depositing the money and withdrawing it.