RBI to allow offline payments through cards on pilot basis


Team Udayavani, Aug 6, 2020, 4:00 PM IST

Mumbai: The Reserve Bank on Thursday announced a scheme on a pilot basis for offline retail payments using cards and mobile devices to encourage customers to go for digital transactions even in those places that lack internet connectivity.

“The Reserve Bank has been encouraging entities to develop offline payment solutions. It is, therefore, proposed to allow a pilot scheme for small value payments in offline mode with built-in features for safeguarding interest of users, liability protection, etc,” it said in ”Statement on Developmental and Regulatory Policies”.

The instructions in this regard will be issued shortly, it added.

The central bank said that based on experience gained, detailed guidelines for the rollout of the scheme will be announced in due course.

Observing that lack of internet connectivity or low speed of internet, especially in remote areas, is a major impediment in adoption of digital payments, the RBI said “against this backdrop, providing an option of offline payments through cards, wallets and mobile devices is expected to further the adoption of digital payments”.

Meanwhile, the RBI also said Payment System Operators (PSOs) will have to implement Online Dispute Resolution (ODR) as there is a concomitant increase in the number of disputes and grievances as digital transactions rise significantly.

The statement further said that recourse to technology-driven redressal mechanisms that are rule-based, transparent and involve minimum (or no) manual intervention is necessary to deal with disputes and grievances in a timely and effective manner.

“Accordingly, the Reserve Bank shall require PSOs to introduce ODR systems in a phased manner. To begin with, authorised PSOs shall be required to implement ODR systems for failed transactions in their respective payment systems,” it said.

Based on the experience gained, ODR arrangements will be extended to other types of disputes and grievances, it added.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

B’luru: Cop’s wife accuses him of raping stepdaughters; requests CBI probe

Bumrah breaks Lara’s world record, smashes Broad for 29 runs as 35 comes off single Test match over

India all out for 416 on Day 2 of fifth Test against England

Mild tremors felt again in Dakshina Kannada

Alt News parent company Pravda Media received Rs 2 lakh from foreign countries: Police

Congress in K’taka releases booklet highlighting failures of BJP govt at Centre in 8 years

Agnipath scheme: Congress workers hold protest in Mangaluru


Related Articles More

Reliance Industries stock tumbles over 7 pc; ONGC tanks more than 13 pc

RBI ask banks to test note sorting machines on quarterly basis

India’s manufacturing sector activity eases to 9-month low in Jun amid price pressure

Bajaj Auto sales at 3,47,004 units in June

Govt hikes gold import duty to 15 pc

MUST WATCH

India’s first unmanned combat aircraft flight successful

How to earn God’s grace?

NEW BULLETIN 01-07-2022

Heavy Rain Mallar Urdu school Damage

Heavy rain at kaup area


Latest Additions

MHA amends FCRA rules, allows relatives living abroad to send up to Rs 10 lakh to Indians without restrictions

B’luru: Cop’s wife accuses him of raping stepdaughters; requests CBI probe

Uddhav’s letter removing Shinde as ‘Shiv Sena leader’ to be challenged, says Kesarkar

Bumrah breaks Lara’s world record, smashes Broad for 29 runs as 35 comes off single Test match over

India all out for 416 on Day 2 of fifth Test against England

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.