The Reserve Bank of India has now appointed Bandhan Bank NSE -2.47 % as an Agency Bank of the RBI to conduct government business.
Bandhan Bank now joins several other private banks that have been empanelled as an Agency Bank of the RBI.
Bandhan Bank will now be authorised to handle transactions related to GST, VAT and the collection of state taxes. Aside from that it can also look after collection of stamp duty and pension payments on behalf of central and state governments, among others. The bank’s products, services and digital banking capabilities will help it to carry out its new role.