In order to take economic development and technology to the rural masses, the Indian government today announced that it is contemplating to install specially designed Gramtells (rural ATMs) at post offices.
Gramtellers are rural ATM machines developed by the Indian Institute of Technology (IIT), in Madras. They operate by using smart cards and fingerprints in place of conventional personal identification numbers and magnetic cards. Fortunately, the interest and volume of 
projects developing rural-based banking technology, and especially Biometric solutions, is growing rapidly in India - this can solidly help bank the unbank, especially the illiterate. (See our previous story.)
The suggestion to set up Gramtells at post offices formed part of the recommendations of the Steering Committee on Micro Finance and Poverty Alleviation, which is being considered by the Planning Commission for incorporation in the Eleventh Plan (2007-12).
"The post office network in the country should be used to deliver banking services, especially in the rural areas. They should further be encouraged to work as business facilitators and banking correspondents in accordance with Reserve Bank guidelines.," the Committee suggested.
The Common Service Centres (CSC), developed by the Information Technology Department to take electronic services to villages, may also be linked to post Offices to synergise the technology to handle financial products, the Steering Committee proposed.
It recommended that multi-purpose, unique ID-based smart card system should also be utilised for effective delivery of micro-credit.
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