The Reserve Bank of India (RBI) has created a technical committee on mobile banking that will explore future opportunities for platforms such as smartphones and tablets.
It has been set up to examine the various options and alternatives, such as using encrypted SMS-based funds transfer with an application that can run on any type of handset in the country.
India is currently looking to expand its mobile banking capabilities and the new committee should help it reach that goal.
It will conduct an in-depth study of the challenges faced by financial institutions in the nation with a view to taking mobile banking forward to the desired level, while the Unstructured Supplementary Service Data channel will also be introduced.
Other opportunities that would take mobile banking to "every nook and corner of the country" will be explored.
As connected devices rise to prominence in India, mobile banking will become a major feature as it already has in much of the developed world.
By Claire Archer