Question : Non-Functional ATM

(a) whether recent survey conducted by the Reserve Bank of India (RBI) around 30 per cent of Automated Teller Machines (ATMs) have been out of order/non-functional, if so, the details thereof, bank-wise along with the remedial action taken in this regard;
(b) whether the Government has instructed banks to install ATMs in all of their branches, if so, the details thereof;
(c) whether the RBI has any proposal to remove the restrictions on cash withdrawal from other bank ATMs, if so, the details thereof; and
(d) the steps taken/being taken by the Government in this regard?

The Minister of State in the Ministry of Finance


(a) Reserve Bank of India (RBI) has informed that it has recently conducted a representative sample survey of around 4000 ATMs situated in Metro, Semi-urban, urban and rural areas across the country. Primary finding of the survey has revealed that around 30 % of the ATMs (600 Nos) of Public Sector Banks and 10% (100 Nos) ATMs of Private Sector Banks surveyed were non-functioning/mal-functioning. The major reasons for non-functioning/mal-functioning of ATMs noticed in the Survey were:
? Technical snags,
? Non-availability of network,
? Power failures,
? Non-availability of cash.
The report does not explicitly capture bank-wise data on non-functioning/mal-functioning of ATMs surveyed.

(b) RBI has informed that all Scheduled Commercial Banks (excluding Regional Rural Banks) do not need to obtain permission of RBI for installation of ATMs at branches and extension counters for which they hold licenses issued by RBI. Hon’ble Finance Minister in his budget speech on 28th February, 2013 has, inter-alia, announced that all branches of Public Sector Banks will have an ATM in place by 31.03.2014. As on 31.05.2016, there are 102779 On-Site ATMs of Scheduled Commercial Banks (SCBs) besides 111492 Off-Site ATMs across the country which includes 13547 White Label ATMs (WLAs) also.
(c) and (d) Directions on rationalization of ATM transactions have been issued by RBI after an analysis of the ATM deployment in the country as well as availability of alternate means of electronic payment infrastructure and access thereto. RBI has informed that at present it is not contemplating of making any changes on cash withdrawal limits from other banks’ ATMs.

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