back Back

RBI’s vision for payments in 2025: E-payments for all

By Puja Sharma

June 20, 2022

  • A2A Payments
  • BHIM UPI
  • BNPL IN India
Share

RBI, Payment Vision 2025

The Reserve Bank Of India’s (RBI) Payments Vision 2025 mentioned as its core theme to be E-Payments for Everyone, Everywhere, every time. In addition, it visions regulating BigTech, FinTechs, BNPL, and introducing digital currency. Enlisted below are perspectives of the industry experts on what will the future look like for the payments and fintech space.

The study on the creation of a digital payments protection fund (DPPF) if implemented, will help customers who are defrauded. The vision of one nation one grid, and on-realization settlement will help all stakeholders, importantly with the faster realization of funds. Exploring the regulation of operators in the payments ecosystem including intermediaries and BigTechs will create a level playing field for all payment operators.

Rajesh Mirjankar, MD & CEO, Kiya.ai, a digital solutions provider for the banking and financial sector said “The Payments Vision 2025 is progressive and has an outlook to establish India as a powerhouse of payments globally.  One of the most important forward-looking initiatives is the global outreach of UPI RTGS NEFT & Rupay cards with internationalization, where bilateral treaties with nations especially covering the USD, GBP, and Euro will hugely benefit Indian residents and their counterparties overseas with online realization at lesser costs.”

Accommodating alternative authentication mechanisms and including payments using IoT will ensure our payment systems adapt to evolve new business models with the emergence of 5G along with IoT for edge computing and the metaverse.

‘The introduction of CBDC in India will herald our thought leadership in payments because our wide payment ecosystem & digital outreach will ensure the success of use cases in retail & commercial transactions using CBDC delivering high efficiencies in cross border processing and settlements.” Mirjankar added.

The Payments Vision 2025 promises to further elevate our payment systems towards a realm of empowering users with affordable payment options accessible anytime and anywhere with convenience. As this journey toward a less-cash and less-card society unfolds, concomitant expansion in the basket of digital payment options with credence and confidence would ensure the sustenance of Reserve Bank’s approach of facilitating users with a seamless digital payment experience. This will also reinforce India’s position as the global leader in the digital payments domain. Considering the current geopolitical developments across the world, the Payments Vision 2025 document also seeks to address the potential risks arising out of any adverse situation that may arise.

Avinash Godkhindi, MD & CEO at Zaggle, a FinTech focusing on digital payments, cashback, and analytics) said, “India has made phenomenal strides in payments in the last few years, UPI and Rupay being the biggest success stories. Now taking them globally will establish India as the undisputed global leader in payments. Linking credit cards to UPI is another game-changer as would the globalization of India’s CBDC. Regulatory clarity for big tech and FinTechs as well as BNPL will help entities plan long term and invest even more in fintech in India. Overall, this is an extremely bold and ambitious vision document which demonstrates India’s thought leadership in the global payment arena.”

Inclusion would be promoted through collection and publication of disaggregated payment data leading to policy enhancements, where required; customer awareness transcending geographies, participant members, and customer segments; identifying spatial penetration of digital payment acceptance infrastructure across states/districts; reviewing the scope of PIDF Scheme, etc. To further spur innovation, a UPI-like system for cards and an enabling framework for Internet of Things (IoT) based payments would be explored.

Dilip Modi, the founder of Spice Money, a FinTech company offering financial services mainly for the under-served section of society, said, “The apex bank of India today announced a blueprint for the regulation of payment systems under Vision 2025. Earlier, vision 2021 had envisaged a new era of digital transactions, to provide Indians with e-payments options that were fast, secure, efficient, and affordable. While the pandemic raged across the country, India was on a path to realising this vision, and digital payments grew phenomenally in volume and popularity, with a constant thrust from the government, and the rise of rural FinTechs.”

“I welcome Vision 2025, and I believe this will foster a spirit of transparency and trust, and only encourage our one million-strong, ever-growing network of Spice Money Adhikaris to dedicate themselves to bringing essential services across finance and beyond, to the doorsteps of their communities, connecting the last miles of the country,” he added.

Previous Article

June 20, 2022

PingPong strengthens its partnership with JCB

Read More
Next Article

June 20, 2022

Revolut partners with Vonage to improve the customer service experience

Read More






IBSi FinTech Journal

  • Most trusted FinTech journal since 1991
  • Digital monthly issue
  • 60+ pages of research, analysis, interviews, opinions, and rankings
  • Global coverage
Subscribe Now

Other Related News

Today

Nium & Kinexys by J.P. Morgan enhance remittances in Malaysia, Thailand, & Hong Kong

Read More

Today

EMEA IT pros demand AI rules to tame finance, security, and trust chaos

Read More

Today

Easy Pay joins ONDC as a Seller; boosts MSME access to eCommerce

Read More

Related Reports

Sales League Table Report 2024
Know More
Global Digital Banking Vendor & Landscape Report Q3 2024
Know More
NextGen WealthTech: The Trends To Shape The Future Q4 2023
Know More
IBSi Spectrum Report: Supply Chain Finance Platforms Q4 2023
Know More
Treasury & Capital Markets Systems Report Q1 2024
Know More