Indian Railways To Install ATM Machines In Trains For Cashless Travel Soon

New Delhi, 16th April 2025: Indian Railways is set to introduce a new facility by installing Automated Teller Machines (ATMs) in trains to promote cashless transactions and enhance passenger convenience. The initiative aims to provide travelers with easy access to cash and digital banking services while on the move, addressing the growing demand for digital payment options in the country. This move is part of Indian Railways’ ongoing efforts to modernize its services and ensure a seamless travel experience for millions of passengers.

According to railway officials, the installation of ATMs inside trains is expected to begin soon, following a revised policy by the Ministry of Railways. The policy allows public sector banks, scheduled commercial banks, and licensed white-label ATM operators to set up ATMs in designated areas within trains and at railway stations.

The decision was made after considering technological advancements and the increasing need for last-mile banking services, especially for passengers traveling long distances or in remote areas where banking facilities are limited.

The revised guidelines specify that banks and service providers will be responsible for the installation, maintenance, and security of the ATMs. The Divisional Railway Manager (DRM) will identify suitable locations for these machines based on feasibility and passenger demand.

The license for setting up ATMs in trains and stations will be granted through an e-auction process, ensuring transparency and competitive pricing. Each contract will have a tenure of five years, with provisions for annual escalation in license fees.

Explaining the rationale behind this initiative, Suresh Kumar, a senior railway official, said, “With the increasing adoption of digital payments and the government’s push for a cashless economy, providing ATM facilities in trains will bridge the gap for passengers who need cash or banking services during their journey. This step will also support financial inclusion and make travel more convenient.”

The ATMs will be installed in areas that do not obstruct passenger movement or compromise safety. Banks will be required to ensure the cleanliness and upkeep of ATM cabins, as well as compliance with Reserve Bank of India regulations. Electricity for the machines may be provided by the railways, with banks bearing the actual cost. In case of any modifications or construction activities in trains, banks will be responsible for shifting their ATMs as directed by railway authorities.

Passengers have welcomed the move, noting that it will be particularly beneficial for those traveling to rural or remote destinations where access to cash can be challenging. Anjali Sharma, a frequent traveler and resident of Kanpur, said, “Having ATMs in trains will save time and reduce stress, especially during emergencies or when traveling to places with limited banking facilities.”

The Ministry of Railways has clarified that this facility will first be implemented in select trains and routes, with plans to expand based on feedback and operational success. The initiative is expected to further the government’s vision of Digital India by integrating banking services with public transportation.

In conclusion, the installation of ATMs in Indian trains marks a significant step towards cashless travel and enhanced passenger amenities. The move reflects Indian Railways’ commitment to adopting innovative solutions for the benefit of its vast customer base, ensuring that financial services are accessible to all, even while on the move.