India’s financial inclusion ecosystem is witnessing a shift from account opening to active usage, with cumulative balances in financial inclusion (FI) accounts routed through Business Correspondent (BC) channels approaching ₹12,000 crore, according to data shared by BLS E-Services Ltd.
The growth reflects increasing adoption of formal banking services across rural and semi-urban areas, particularly in Tier-4 and Tier-5 markets, which account for nearly 80% of the balances, the company said.
The BC model, enabled under the Reserve Bank of India framework, allows banks to extend services through local agents offering account opening, cash transactions and access to Direct Benefit Transfers. The model has become a key interface for customers in underserved regions.
The current phase marks a transition from earlier initiatives such as the Pradhan Mantri Jan Dhan Yojana, which focused on account creation, to sustained account usage, including deposits and withdrawals.
According to the company, campaigns such as Sanchay-I and Sanchay-II have contributed to deposit mobilisation across its network. FI balances routed through its platform have seen accelerated growth in the current financial year, supported by partnerships with banks including State Bank of India and HDFC Bank, along with other public sector banks and regional rural banks.
Lokanath Panda, Chief Operating Officer at BLS E-Services, said the financial inclusion narrative is evolving towards regular usage of banking services at the grassroots level, indicating a behavioural shift among rural customers.
State-wise data shows broad-based participation, with Uttar Pradesh, Bihar, West Bengal and Odisha contributing over ₹1,000 crore each in FI balances. Other states including Rajasthan, Maharashtra and Jharkhand have reported balances exceeding ₹700 crore, while Gujarat, Madhya Pradesh and Punjab have crossed ₹200 crore.
The company said it operates over 45,800 BC outlets nationwide, processing more than 150 million transactions annually. Monthly gross transaction value across the network has crossed ₹10,000 crore.
The BC segment contributes around ₹250 crore annually to the company’s revenue through a commission-based model, and is expected to account for about 50% of overall revenue following the Atyati acquisition.
Industry participants note that the BC network is increasingly being positioned as a core component of India’s banking infrastructure, supporting last-mile delivery of financial services.