National Financial Switch
|Operating area||Republic of India|
National Financial Switch (NFS) was conceptualised, developed and implemented by Institute of Development and Research in Banking Technology (IDRBT), Hyderabad with a view to inter-connect the ATMs in the country and facilitate convenience banking for the common man.
The Institute started off the switch by connecting the ATMs of three banks. Thereafter, the Institute continuously worked towards bringing all banks on board and by December 2009, the network had grown to connect 49,880 ATMs of 37 banks, thereby emerging as the largest Network of shared ATMs in the country.
The Institute handed over the National Financial Switch to National Payments Corporation of India (NPCI ) in 14 December 2009.
'Any bank can now join ATM network through National Financial Switch'
Any bank with Core Banking Solution with 24 X 7 transaction banking capabilities with ATM or no ATM can now join the National Financial Switch (NFS) through a sponsor bank. This would facilitate even the non- scheduled Urban Co-op Banks and Regional Rural Banks to have access to the National Network of 1,03,000 + ATMs in the country. So far, access was limited to only scheduled banks with RTGS membership. Two Sub-members, The Pandharpur Urban Co. Op. Bank Ltd.(PUC) with their three ATMs in Pandharpur, Maharashtra (through their Sponsor ICICI Bank Ltd) and Dr. Annasaheb Chowgule Bank (DAC) with their Four ATMs in Solapur, Maharashtra (through their Sponsor HDFC Bank Ltd) have gone live on NFS Network. Saraswat Bank, a leading Urban Co-operative Bank, also has sponsored, The Chembur Nagrik Sahakari Bank (CNSB) with their two ATMs in Mumbai and The Shamrao Vithal Co-op. Bank Ltd has also sponsored Dharmavir Sambhaji Urban Co-op Bank Ltd, Pune and Ahmed Nagar Shahar Sahkari Bank Maryadit, Ahmednagar. This is a step forward to inclusive growth of financial services in the Country and serving to the Customers of the smaller Banks, UCBs and RRBs. By this Sponsor Bank Scheme on NFS, connectivity of ATMs across the Country would be increased and Customers would be able to access the ATMs in the remotest areas of the Country.
The Institute of Development and Research in Banking Technology (IDRBT), Hyderabad had been providing ATM switching service to banks in India through National Financial Switch . IDRBT decided to hive off its operational role on ATM switching to have focus on research and development and was looking for a suitable arrangement for shifting this business to some national level payment system organization. National Payments Corporation of India (NPCI) considered this as an opportunity and started discussions with IDRBT on the feasibility of taking over.
The Board for Regulation and Supervision of Payment and Settlement systems (BPSS) at its meeting held on September 24, 2009 has approved in-principle to issue authorisation to NPCI for operating various retail payment systems in the country. Reserve Bank of India has granted authorisation to NPCI to take over the operations of National Financial Switch (NFS) from the Institute of Development and Research in Banking Technology (IDRBT) on a ‘as is where is basis’ on October 15, 2009.NPCI has deputed its officials to IDRBT Hyderabad and NPCI has taken over NFS operations from December 14, 2009.
While the primary site is located in the IDRBT Campus at Hyderabad, the back up site is being developed at Mumbai.
As of September 2013, the NFS Network connects 1,33,180 ATMs of 74 member banks, 99 sub-member banks, 42 RRB member banks and 1 whitelabel ATM provider  which is the largest number of ATMs under a single network in India.
NFS Member Banks ATMs
|Sr No||Bank Name||No of ATMs|
|1||Abhyudaya Co-operative Bank||102|
|4||APNA Sahakari Bank ltd||42|
|6||Bank of Bahrain and Kuwait||3|
|7||Bank of Baroda||4,101|
|8||Bank Of India||2,905|
|9||Bank of Maharashtra||900|
|10||Bassein Catholic Co-operative Bank Ltd||29|
|12||Catholic Syrian Bank||214|
|13||Central Bank of India||3,133|
|15||City Union Bank||855|
|20||Development Bank of Singapore||35|
|21||Development Credit Bank||251|
|23||Dombivli Nagarik Sahakari Bank||26|
|25||First Rand Bank Ltd||7|
|26||Gopinath Patil Parsik Janata Sahakari Bank Ltd||32|
|32||Indian Overseas Bank||2,149|
|34||ING Vysya Bank||618|
|35||Jammu and Kashmir Bank||726|
|36||JanaKalyan Sahakari Bank||16|
|37||Janata Sahakari Bank||33|
|38||Kallappanna Awade Ichalkaranji Janata Sahkari Bank||24|
|39||Kalyan Janata Sahakari Bank||30|
|41||Karur Vysya Bank||1,468|
|42||Kotak Mahindra Bank||1,004|
|43||Lakshmi Vilas Bank||688|
|44||Mahanagar Co-operative Bank||35|
|45||Mehsana Urban Co-operative Bank||13|
|46||NKGSB Co-operative Bank||76|
|47||Nutan Nagarik Sahakari Bank||2|
|48||Oriental Bank of Commerce||1,697|
|49||Punjab and Maharashtra Co-operative Bank||92|
|50||Punjab and Sind Bank||388|
|51||Punjab National Bank||6,577|
|52||Saraswat Co-operative Bank||183|
|53||Shamrao Vithal Bank||147|
|54||Standard Chartered Bank||279|
|55||State Bank of India||38,779|
|57||Tamilnaad Mercantile Bank||542|
|58||Thane Janata Sahakari Bank||92|
|59||The A.P. Mahesh Co-operative Urban Bank Ltd||4|
|60||The Bharat Co-operative Bank ltd.||49|
|61||The Greater Bombay Co-operative Bank||21|
|62||The Kalupur Commercial Co-Op Bank Ltd||36|
|63||The Karad Urban Co-operative Bank ltd||21|
|64||The Municipal Co-operative Bank Ltd||4|
|65||The Ratnakar Bank Ltd||243|
|66||The South Indian Bank||878|
|67||The Surat People’s Co-operative Bank Ltd||15|
|68||The West Bengal State Co-operative Bank Ltd||5|
|70||Union Bank Of India||5,337|
|71||United Bank of India||1,086|
|74||Yes Bank Ltd||1,122|
NFS Total ATM Coverage
|No of Banks||No of ATMs|
|RRB member Banks||42||79|
|Whitelabel ATM Providers||1||296|