RBI, idbi bank sign agreement on government business

Mumbai: The Reserve Bank of India and leading new generation bank idbi bank have signed an agreement facilitating the Bank's entry into central government and state government business.

RBI's chief general manager, department of government and bank accounts (DGBA), Probal Sen and idbi bank's managing director G V Nageswara Rao formally signed the agreement.

The Gujarat government's finance department had earlier issued a notification authorising idbi bank to collect ST and professional taxes at its nine branches in the state - four in Ahmedabad and one each at Bhavnagar, Baroda, Navsari, Surat and Vallabh Vidyanagar

With this, idbi bank brings in the convenience of payment to thousands of businessess across Gujarat. The Bank will also offer extended hours for deposits and payments.

Armed with a Rs 154 crore infusion of fresh capital through its recent rights issue, the bank has been aggressively pursuing new business plans by making substantial investments in technology.