RBI is putting great emphasis on implementation of mobile banking as part of its financial inclusion drive. The apex bank however prefers the model led by banks for the same in comparison to the one led by telecom operators as it believes the bank led model offers more and better facilities such as deposit insurance, access to affordable credit and payment system, not just remittance, governor D Subbarao said.

Increasing terrorism and money laundering activities are also vital factors in RBI opting for the banks' model, he said.

"World over, there are two distinct models - the ‘bank-led' model and the ‘mobile operator-led' model. The RBI has a clear preference for the bank-led model," Subbarao said.

Telecom operators (Trai) and banks have decided on roles regarding mobile banking so as to promote smooth and efficient functioning of the service.

The Governor expressed concerns over technology frightening poor people away from the service. The banks have thus been advised to take extra care in this regard.