Airtel Payments Bank launches salary account solution for MSMEs in India

As India begins to open up following the COVID-19 lockdown, Airtel Payments Bank today announced the launch of ‘Suraksha Salary Account’ for the Micro, Small and Medium Enterprises (MSME) in India.

India’s MSME sector has over 60 million units and accounts for 29% of India’s GDP. These units employ a large number of the informal labour force who are not eligible for social and healthcare benefits as part of their salaries. The lack of any financial protection makes them highly vulnerable, particularly in current times.

Through Suraksha Salary account’s construct, Airtel Payments Bank hopes that MSMEs and other organisations will be able to make cashless payments and also provide a financial security blanket to their employees. Suraksha Salary account offers other benefits including Hospicash Insurance and Personal Accidental insurance cover given the low penetration of insurance in India.

Anubrata Biswas, MD and CEO, Airtel Payments Bank said: “We are delighted to launch Suraksha Salary Account to serve the specific needs of the people employed in India’s MSME segment. Our research reflected how lack of protection makes the workforce susceptible to financial setbacks, particularly in case of illness. With this consumer insight, we developed the Suraksha Salary Account to enable MSMEs to offer financial protection and formal banking experience to their employees. This innovative account is an important addition to our existing portfolio of customized products that are aimed at driving financial inclusion in the country.”

Suraksha Salary Account construct enables businesses to disburse salaries in a seamlessly convenient manner and also maintain records digitally for future references and tax processes, says the company. To begin with, the product will be available only to new to bank customers. It will be soon made available to the existing customers who wish to operate their salary accounts with Airtel Payments Bank.