The Department of Posts and the National Stock Exchange of India Limited have signed a memorandum of understanding to enable the distribution of mutual fund products through India Post's extensive postal network. The agreement was executed in New Delhi and is intended to enhance last-mile access to capital market-linked financial products. Officials present described the partnership as a strategic effort to combine physical outreach with market infrastructure. The arrangement is expected to promote investor education and participation across demographics.

The Department of Posts will deploy its vast network of over 0.164 million (mn) post offices across the country to facilitate access, while the National Stock Exchange will provide its digital mutual fund platform for transaction placement and settlement in compliance with SEBI regulations. The partnership will focus on improving availability in rural and semi-urban areas. Emphasis will be placed on investor awareness, transparency and adherence to regulatory standards. Operational details will be tested during a pilot phase.

Under the memorandum selected employees of the Department of Posts will be identified, trained and onboarded as certified mutual fund distributors, subject to mandatory certifications such as NISM certification and EUIN registration. The memorandum will remain valid for a period of three years from the date of execution and may be renewed by mutual consent. Implementation will be phased and will begin with a pilot covering selected locations. Training will cover compliance, product knowledge and customer service protocols.

Officials indicated that the initiative supports the Government of India's broader objective of deepening financial inclusion by leveraging trusted physical touchpoints alongside digital infrastructure. The scheme is expected to increase mutual fund penetration in Tier-two, Tier-three and rural areas, strengthen investor confidence and promote financial literacy. Stakeholders will monitor outcomes during the pilot to guide subsequent scaling. Regular reviews will evaluate impact and inform any wider roll-out plans.