Rural Development and India Post Anurag Priyadarshee Director (Rural Business), India Post 29 October 2010

India Post Network Total number of post offices: 154,979 Post offices in rural India: 139,182 Average area served per post office: 21.2 sq km ( sq km for China and sq km for USA) Average population served per post office: 7,174 (8,029 in case of USA and 19,962 in case of China)

Reach of India Post Rural Financial Access Survey (World Bank 2004): Post office branches in India are in the closest proximity (2 km on average) to rural clients compared to branches of commercial banks, regional rural banks and cooperatives (5 km on average)

Strengths of India Post Network Rural post office personnel drawn from local communities Trusted by the local people Have valuable information capital on the local communities Even the last person at the remotest village is within the reach of India Post Rich experience of delivering financial and retail services in addition to the mail operations

Leveraging the Network Case of Widow Financial Assistance in Gujarat Identification of ineligible beneficiaries. Survey in Gujarat by India Post in 2002 revealed that out of 130,187 women drawing the assistance, 10,353 did not fulfill the eligibility criteria. The scheme implemented for the eligible widows in April Post offices opened savings accounts of all eligible widows. Financial assistance is being directly deposited in these accounts.

Wage Disbursal under MGNREGS Period Amount Disbursed During the year Rs. 3,863 Crores During the year Rs.7,900 Crores During the year (April 2010 to Sep 2010) Rs. 6,539 Crores No. of NREGS accounts As on As on As on

Rural CPI Data Collection Current Price Index does not cover all segments of population No separate Price Index for rural areas Ministry of Statistics approached India Post considering it as the only agency that can collect data at all representative rural areas including remote and largely inaccessible areas Data are being collected for 1181 villages throughout the country by India Post

NABARD–SHG-Post Office Linkage Disbursal of microcredit to Self Help Groups through Post Offices financed by NABARD Implemented in five districts in Tamil Nadu since December 2006 Accounts of the SHGs are opened in the Post Offices Local postal personnel rate the SHGs, help them in filling up loan application forms and extend loans Risk of non-repayment is borne by NABARD No default noticed so far

Indira Gandhi National Old Age Pension Scheme to KTK KER Nil M.P MAH NE ORINil PUNNil RAJ T.N U.PNil UTK W.BNil Total

Rural Postal Life Insurance YearNumber of policies issued Sum assured (Rs. in crores) Average sum assured per policy (in Rs.) ,35,8477, , ,43,8188, , ,68,82611, , ,00,5829, , ,26,3618, ,270

Rural ICT Programme Plan to connect all the post offices including those in rural areas on appropriate ICT platform by September 2012 Field testing is planned in November 2010 Adequate financial resources have already been provided to India Post

Thank you