Mutual Fund
Department of Posts, NSE sign MoU to advance financial inclusion through mutual fund distribution
The Department of Posts (DoP), Ministry of Communications, Government of India, and the National Stock Exchange of India Limited (NSE) on Tuesday signed a Memorandum of Understanding (MoU) to collaborate on the NSE MF Invest platform, in a major push to deepen financial inclusion across the country.
The partnership aims to transform the modest savings of millions of rural and small-town Indians into long-term wealth by channeling “stranded savings” into productive mutual fund investments.
The MoU was signed by Manisha Bansal Badal, General Manager (Citizen Centric Services & Rural Business), Department of Posts, and Sriram Krishnan, Chief Business Development Officer (CBDO), NSE, in the presence of Ashishkumar Chauhan, Managing Director and CEO, NSE.
Leveraging Reach and Technology
The strategic collaboration combines India Post’s vast network of over 1.64 lakh post offices — more than 80% of which are located in rural areas — and its deep-rooted public trust, with NSE’s zero-cost, technology-driven NSE MF Invest platform.
Despite strong growth in India’s mutual fund industry, with assets under management (AUM) crossing ₹81 lakh crore and robust systematic investment plan (SIP) inflows, mutual fund penetration remains low at around 10% of households, largely concentrated in urban areas. The initiative seeks to bridge this gap by expanding access to underserved communities.
India Post’s reach positions it to enable crores of small savers — including women, farmers, daily-wage workers and young investors — to participate in long-term wealth creation through diversified mutual fund investments. The move is also expected to boost domestic investment and reduce reliance on low-yield savings options.
End-to-End Integrated Platform
The NSE MF Invest platform will offer a fully integrated, turnkey solution covering the entire investor lifecycle — from onboarding to transactions and back-office support.
Key features include:
Digital KYC Integration: Mobile and Aadhaar-based e-KYC at post offices or through India Post systems and apps powered by NSE MF Invest.
2,500 Leader Initiative: NSE will fully fund NISM certification and EUIN registration for 2,500 India Post personnel, creating a trained cadre of certified investment facilitators in rural India.
Pan-India Support: Dedicated technical and operational support teams will be deployed across all 23 Postal Circles and at Dak Bhawan to provide round-the-clock assistance.
Phased Rollout Strategy
The rollout will begin with a simplified, diversified and easy-to-understand investment offering aligned with India Post’s trusted brand image. The initial phase will focus on small, flexible investment amounts and a Do-It-Yourself (DIY) model, with assisted services introduced after personnel complete NISM certification and regulatory compliance requirements.
Following Phase I stabilisation, the partnership will expand to provide access to the full mutual fund ecosystem, including:
All open-ended schemes across 55+ asset management companies (AMCs)
Advanced systematic plans such as STP and SWP
Goal-based investing solutions
Portfolio analytics
Vernacular language support
Enhanced advisory services
Strengthening Financial Inclusion
The initiative aligns with India Post’s mandate to promote financial inclusion, encourage a shift from savings to investments, and leverage technology for last-mile delivery. It is also expected to generate new commission-based revenue streams for post offices and Gramin Dak Sevaks (GDS), while strengthening engagement with rural, women and young customers.
Ashishkumar Chauhan, MD & CEO, NSE, said:“We are proud to partner with the Department of Posts to democratise access to capital markets. NSE MF Invest’s robust platform, combined with India Post’s unmatched reach, will script a new chapter where every small saver becomes a wealth creator.”
Manisha Bansal Badal, GM (Citizen Centric Services & Rural Business), DoP, said: “The Department of Posts has always played a pivotal role in advancing financial inclusion and delivering citizen-centric services. This partnership with NSE will enable India Post to offer modern investment solutions while maintaining the highest standards of investor protection, transparency and regulatory compliance.”
Sriram Krishnan, CBDO, NSE, added: “Our commitment to seamless integration, training and operational support ensures that India Post can focus on distribution while we manage the technology backbone.”
The collaboration represents a significant step toward channeling household savings into productive capital markets, strengthening communities and contributing to India’s broader inclusive growth story.
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