For promoting financial inclusion, RBI introduced

Solution

The ‘Small Accounts’ have certain limitations such as: •balance in such accounts at any point of time should not exceed Rs.50,000 •total credits in one year should not exceed Rs.1,00,000 •total withdrawal and transfers in a month should not exceed Rs.10,000 •Foreign remittances cannot be credited to such accounts. Such accounts remain operational initially for a period of 12 months and thereafter, for a further period of 12 months, if the holder of such an account provides evidence to the bank of having applied for any of the officially valid documents within twelve months of the opening of such account.