RBI Makes Announcements For UPI
RBI MPC: UPI 123 Pay Limit Per Transaction Has Been Raised By The Central Bank
The Reserve Bank of India has increased the transaction limit for UPI 123PAY and UPI Lite wallet. The announcement was made by RBI Governor Shaktikanta Das on Wednesday.
UPI 123PAY is an instant payment system for feature phone users.
“UPI has transformed India’s financial landscape by making digital payments accessible and inclusive through continuous innovation and adaptation,” Das said while announcing the decision of the Monetary Policy Meeting.
To further encourage wider adoption of UPI and make it more inclusive, it has been decided to;
(i) enhance the per-transaction limit in UPI123Pay from Rs 5,000 to Rs 10,000; and
(ii) increase the UPI Lite wallet limit from Rs 2,000 to Rs 5,000 and the per-transaction limit from Rs 500 to Rs 1,000.
UPI 123PAY is an instant payment system for feature phone users who can use the Unified Payments Interface (UPI) payment service safely and securely. Through
UPI 123PAY, feature phone users can undertake a host of transactions based on four technology alternatives.
They include calling an IVR (interactive voice response) number, app functionality in feature phones, missed call-based approach and also proximity sound-based payments.
UPI LITE is a payment solution that leverages the trusted NPCI Common Library (CL) application to process low value transactions. The solution runs off existing UPI ecosystem protocols for mobile phones to ensure commonality, compliance and system acceptance.
UPI LITE experience is intended to be a customer-friendly approach to enabling low-value transactions without utilising a Remitter bank’s core banking systems in real-time, while providing adequate risk mitigation.
