Union Bank of India (UBI), one of the largest government-owned banks of India has signed a memorandum of understanding (MoU) with Government e-Marketplace (GeM) to provide cashless, paperless and transparent payment system to small traders.
- The MoU will offer paperless, cashless and transparent payment and procurement system for government entities on the GeM portal.
- As per the MOU, the Union Bank of India will offer services including:
- Transfer of funds through GeM Pool Accounts (GPA)
- Advising of Performance Bank Guarantees (e-PBG)
- Earnest Money Deposit (EMD) to the registered users on the GeM portal
- GeM has already signed MoU with 14 Public Sector and private banks to enable online integration for payments and various banking services.
- GeM through MoU with TReDs and SIDBI provide invoice financing and Bill Discounting to the MSMEs registered on GeM.
- GeM is a one stop platform for online procurement of goods and services required by various government departments, Public Sector Units etc. in a transparent manner.