MasteryExams
Economics • Banking & FinanceMedium

What is the primary objective of introducing 'White Label ATMs' (WLAs) in India?

A. To provide automated teller machine services owned and operated by non-banking entities to expand rural reach✓ Correct Answer
B. To allow foreign banks to operate ATMs without establishing physical branch offices
C. To offer exclusive foreign exchange withdrawal services for international tourists
D. To handle high-value bullion transactions for corporate merchant banking houses

💡 Solution & Explanation

White Label ATMs are owned and operated by non-banking financial companies authorized by the Reserve Bank of India to enhance financial inclusion and expand rural penetration. Traditional bank-operated ATMs are branded with specific institutional names, whereas WLAs offer multi-bank services without proprietary branding.

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