New Delhi: A big step is being taken to boost the Indian mutual fund industry. The Association of Mutual Funds in India (AMFI) is working with India Post. The aim is to train about one lakh postmen as mutual fund distributors. This will help in doubling the number of investors.
At the same time, the Department of Posts (DoP) and AMFI have signed a major agreement. Now, mutual funds will also be sold through post offices. This move will make financial services available to more people. The agreement is valid for three years – from August 22, 2025, to August 21, 2028 – and may be extended further. Through this tie-up, India Post will help people invest in mutual funds, especially in rural and small-town areas.
What Is the Purpose of This Agreement?
According to the Ministry of Communications, the main aim is to reach more people with mutual fund investment options. Post offices enjoy people’s trust and have wide reach across the country. Under this plan, postal employees will work as mutual fund distributors. This will help spread awareness in small towns and villages, where people still have limited knowledge of financial products.
Training in Four States
AMFI CEO Venkat N Chalasani said four states have been selected for the first phase – Bihar, Andhra Pradesh, Odisha, and Meghalaya. In these states, college students will be trained. AMFI’s goal is to create about 20,000 new mutual fund distributors in the first year itself.
Growth Through SIPs
Every year, nearly 30,000 new distributors join the mutual fund industry. But only around 10,000 remain active. With online platforms, more investors have started joining mutual funds, especially through SIPs (Systematic Investment Plans). To increase reach in smaller towns and rural areas, new distributors are very important.
Facility to Reach Every Village
Selling mutual funds through post offices will open a new opportunity for people in villages and small towns. Now they won’t need to travel to cities. They can simply go to the nearby post office and invest easily.
