Neobank Niyo has partnered with the National Payments Corp. of India (NPCI) to advance financial inclusion and introduce financial services to more than five million blue-collar workers in India by 2022, Crowdfund Insider reported.
Niyo’s employee payroll solution, Niyo Bharat, gives blue-collar workers a salary account. The payroll software makes it easier for companies to manage workers’ salary information.
“It is a great opportunity for us to cater to blue-collar workers in association with Niyo Bharat. This strategic partnership will facilitate workers in this segment with a bank account and empowering them [with] digital banking [solutions] as well as financial security. It’s our constant aim at NPCI to reach out to the vast unbanked population with technology innovation,” said Kunal Kalawatia, head of marketing at NPCI.
NPCI will assist workers with using the local payment network Rupay, which operates with ATMs, point of sales (POS) devices and eCommerce sites. Niyo Bharat will help local financial institutes extend payroll services to disadvantaged societal fractions.
Niyo Co-founder Vinay Bagri said that Niyo Bharat is growing fast and its collaboration with NPCI will bring financial inclusion to blue-collar workers.
“Our main objective is to provide digital salary management, impart education on essential labor laws and provide secure financial solution opportunities to blue-collar workers. This will not only foster financial inclusion but also inculcate a long-term saving habit among them,” said Bagri in a statement.
Niyo Bharat users can open zero-balance salary accounts fast and easily at their work location. The payment cards use the multilingual Niyo Bharat mobile app. The app offers a cash advance option to allow an employee the flexibility of getting paid before payday hits. This function can allow people the ability to handle emergency expenses.
The app also lets users buy mutual funds and digital gold instruments, starting with amounts as little as INR 100 ($1.39). Reports indicate that Niyo Bharat has in excess of 6,000 business clients and over 150,000 users.
Last month, NPCI gave the Facebook-owned messaging service WhatsApp regulatory approval for a WhatsApp Pay platform in India.