Tag: Financial Inclusion

Finance

Axis Bank Launches India’s First Gold-Backed Credit Line on UPI via Freecharge

Tanisha Cardozo

Axis Bank, one of India’s largest private sector banks, has announced a groundbreaking new offering in collaboration with Freecharge: India’s first gold-backed credit line on the Unified Payments Interface (UPI). This pioneering product is set to redefine how secured credit is accessed in India, particularly for micro, small and medium enterprises (MSMEs), self-employed professionals, and merchants operating across urban and rural markets.

The offering enables users to avail instant credit against their gold holdings, transforming an age-old asset into a dynamic financial tool for modern digital use. The standout feature of the product is its integration with UPI, making both transactions and repayments simple, fast, and accessible from any UPI-enabled app, including Freecharge. Customers only pay interest on the utilized credit amount, ensuring a cost-effective way to manage cash flow, address urgent liquidity needs, or fuel business growth.

Existing Axis Bank customers with gold loan eligibility can avail this credit line through a completely digital journey, removing the need for physical branch visits after onboarding. The product is designed for seamless digital interaction—users can borrow and repay in real-time through UPI, with clear visibility into their credit line usage.

Speaking at the launch, Munish Sharda, Executive Director at Axis Bank, highlighted the innovation, stating that combining the trust of gold with the flexibility of UPI positions this product as a landmark in digital lending. It underlines Axis Bank’s commitment to expanding financial inclusion and pioneering secure credit solutions in the digital age.

This launch also aligns with the National Payments Corporation of India (NPCI)’s recent guidelines permitting credit lines on UPI, opening up new avenues for banks and fintech players to collaborate and deliver accessible credit. Sohini Rajola, Executive Director – Growth at NPCI, noted that the infrastructure now in place allows financial institutions to build simplified and secure digital credit products that are scalable across India.

With Axis Bank’s expertise in credit and its vast branch network, coupled with Freecharge’s fintech innovation and digital-first approach, this new offering brings together the best of traditional finance and modern technology. It provides an innovative, trusted, and user-friendly credit solution, significantly raising the standard for digital lending in the country.

This marks a significant step forward in India’s journey toward inclusive, technology-driven financial services, and opens new possibilities for individuals and businesses to unlock the value of their assets instantly, anytime, anywhere.

Finance

Axis Bank Launches ‘Pink Capital’ to Spotlight Queer Financial Ecosystem

Closed Account

Written by Intern Queeny George M.H , Team Allycaral

Axis Bank, one of India’s largest private sector banks, has launched ‘Pink Capital: The Spectrum of Queer Money’, a qualitative and insightful report exploring the financial lives of India’s LGBTQIA+ community. With this move, the bank signals a bold and necessary step towards understanding and addressing the specific financial needs of a community that has long remained underserved and overlooked in traditional banking models.

The report offers a deep dive into the lived experiences of queer individuals when it comes to money—how they earn, save, invest, and plan for the future. A key insight that emerged is that while symbolic gestures and inclusive branding are welcomed, they are not enough. What truly builds loyalty and trust among queer consumers is everyday inclusion: joint accounts, access to pensions and loans, inclusive healthcare benefits, and respectful customer service that recognizes and affirms their identities.

The financial goals and needs across age groups also vary sharply. Younger individuals emphasized the importance of educational loans, queer-focused savings accounts, and financial literacy programs. In contrast, the older cohort spoke about the urgency of creating community housing models and retirement homes that are queer-affirming, safe, and supportive. This gap underscores the need for tailored financial products that span different life stages.

Axis Bank’s Executive Director, Munish Sharda, highlighted the growing trust of the queer community in the bank, sharing that Axis has already serviced thousands of accounts opened under the gender-neutral honorific ‘Mx’ and by transgender individuals. Rajkamal Vempati, Group Executive and Head of Human Resources, emphasized the larger vision: “By making Pink Capital visible, we are not just doing the right thing, we are building the future of inclusive finance in India.”

The report was launched as part of Sparsh Week, Axis Bank’s flagship celebration that honours customer experience, inclusion, and culture. The initiative reinforces Axis Bank’s broader commitment to a more inclusive and equitable financial ecosystem — one that recognizes, respects, and responds to the spectrum of queer money in India.

Business

Bank of Baroda Installs Water Purifiers at Cutbona Jetty to Support Fishing Community

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Panaji, 6th September 2025: Bank of Baroda, one of India’s leading public sector banks, has installed two water purifiers at Cutbona Jetty in the Salcete Block of South Goa. This initiative, part of the bank’s Corporate Social Responsibility (CSR) program, is aimed at ensuring safe and hygienic drinking water for the local fishing community and jetty workers.

The event drew the enthusiastic participation of more than 150 jetty workers, community leaders, and officials from various sectors, reflecting strong community engagement.

The inaugural ceremony was graced by Shri Prasanna A Acharya (IAS), Secretary, Fisheries & Animal Husbandry, Goa; Shri Lal Singh, Executive Director, Bank of Baroda; Dr. Shamila Monteiro, Director of Fisheries, Goa; Shri Shailendra Kumar Sinha, General Manager & Zonal Head, Bank of Baroda, Pune; and Shri Kumar Keshav, Regional Head, Panaji, Bank of Baroda. Chairpersons of Fishermen’s Federations and Associations, along with other key stakeholders, were also present.

Dignitaries emphasized the importance of clean drinking water in supporting the health, hygiene, and livelihoods of the fishing community. They also encouraged fishermen to take full advantage of banking services, insurance products, and social security schemes to ensure that these benefits reach every eligible household.

As part of its broader financial inclusion drive, Bank of Baroda continues to actively promote government-backed schemes such as the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Suraksha Bima Yojana (PMSBY), Atal Pension Yojana (APY), and Kisan Credit Card (KCC). These initiatives help coastal communities access affordable credit, insurance, and social security.

By addressing health and hygiene needs alongside strengthening economic resilience, this CSR effort reflects Bank of Baroda’s long-standing commitment to inclusive growth and meaningful social impact within coastal communities.

Finance

GCCI Applauds Historic GST Reforms Aimed at Economic Growth and Social Inclusion

Tanisha Cardozo

The Goa Chamber of Commerce & Industry (GCCI), under the leadership of its President Ms. Pratima Dhond, has expressed strong support for the sweeping Goods and Services Tax (GST) reforms announced at the 56th GST Council Meeting. These reforms, hailed as one of the most progressive steps in India’s tax history, aim to simplify the indirect tax structure while promoting inclusive economic growth.

The introduction of a simplified two-slab GST structure — with rates of 5% and 18% — accompanied by a special 40% slab for luxury and sin goods, is expected to bring stability and clarity to the tax regime. GCCI believes this will lead to improved compliance, reduced litigation, and heightened investor and consumer confidence.

Among the most lauded aspects of the reform is the complete removal of GST on all individual life and health insurance policies — a move expected to increase affordability, boost insurance penetration, and strengthen the country’s financial safety net. GCCI considers this a landmark development towards financial inclusion and social security.

In the healthcare sector, the exemption of GST on 33 lifesaving drugs, and reduced rates on others including medical equipment, is expected to reduce the cost burden on citizens and enhance accessibility.

MSMEs, which form the backbone of India’s economy, stand to benefit significantly from reduced compliance burdens and lower tax costs. This boost to competitiveness could further energize employment and innovation in the sector.

The reforms also provide considerable relief to farmers and workers in labor-intensive industries. Reduced GST on tractors, farming equipment, textiles, leather goods, marble, and handicrafts is aimed at reviving rural and artisanal economies.

For households and the common man, daily-use products like soaps, hair oil, milk products, tea, coffee, namkeens, and bicycles now fall under the 5% or NIL tax bracket, improving affordability and encouraging consumption. This is expected to increase demand for discretionary and aspirational products including consumer durables, automobiles, and home appliances — potentially adding 20 to 50 basis points to GDP growth.

The operationalisation of the long-awaited GST Appellate Tribunal is expected to reduce legal disputes and foster ease of doing business. GCCI noted that the reforms address both industry concerns and public needs, maintaining a thoughtful balance. While the government may incur a revenue loss estimated between ₹0.7 to ₹1.8 trillion annually, this is offset by the continued application of the 40% GST rate on luxury and sin goods such as pan masala, aerated drinks, and tobacco.

GCCI President Ms. Dhond summed up the mood, stating, “This across-the-board reform is not only pro-business and pro-consumer, but also pro-society. By making insurance and healthcare affordable, while boosting consumption and competitiveness, the GST reforms will go a long way in strengthening India’s economic growth and socio-economic fabric of our nation.”

These reforms mark a turning point in India’s economic journey — blending fiscal prudence with inclusive growth.

Human Interest

India Post Embraces Digital Payments: UPI Now Accepted at Post Office Counters Nationwide from August 2025

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In a significant step toward advancing financial and digital inclusion, the Government of India has announced that all post office counters across the country will begin accepting UPI payments starting August 2025. The move is expected to enhance customer convenience, reduce dependency on cash, and integrate more citizens into the digital economy — especially in rural and underserved regions.

A Digital Leap for India Post

India Post, with its vast network of over 1.5 lakh post offices, is one of the largest and most trusted public service institutions in the country. While many urban and semi-urban branches have already adopted basic digital services, this step takes things a notch higher by integrating the country’s most popular digital payment platform — Unified Payments Interface (UPI).

With this initiative:

  • Customers can make instant payments for postal services like speed post, parcel booking, savings deposits, and more using their UPI apps.
  • Rural post offices will be digitally empowered, making it easier for people in remote areas to transact without needing cash.
  • It brings transparency and efficiency to payment processes at government service counters.

Key Benefits:

  • Cashless Transactions: No need to carry cash for basic postal services.
  • Speed & Convenience: Faster checkouts at counters.
  • Financial Inclusion: Rural India gets access to modern payment infrastructure.
  • Safety & Hygiene: Reduces physical contact in cash exchanges.

Implementation Details

The rollout is expected to begin in phases starting August 2025, with full implementation targeted by the end of the year. Post office staff are undergoing training to assist users with UPI payments, and signage and QR codes will be prominently displayed at every counter.

Government’s Vision

This initiative is part of the Digital India mission, which aims to connect every Indian with digital tools and services. With India witnessing over 10 billion UPI transactions monthly, extending the service to post offices is a logical and impactful next step.

What’s Next?

Customers visiting post offices for services like:

  • Mail and courier
  • Bill payments
  • Small savings deposits (like RD, NSC, MIS)
  • Aadhaar-linked services

…will be able to scan a QR code and pay using their preferred UPI app — be it Google Pay, PhonePe, Paytm, BHIM, or any other.