RBI Guidelines Money From Any Prepaid Payment Instruments Wallet Gift Cars Can Transfer Using Any UPI Apps

Reserve Bank of India (RBI) Governor Shaktikanta Das said in his Monetary Policy Committee (MPC) statement on Friday that people can now use prepaid payment instruments such as digital wallets to make payments via UPI through third-party apps. He says that any UPI app can be used for payment. Let us tell you that currently there are many such apps in the country including Google Pay, PhonePe, Paytm, Cred, which allow users to do UPI.

RBI Governor Shaktikanta Das said that wallet holders are no longer limited to using the issuer’s app for UPI transactions. They can now use any third-party UPI app for seamless transactions. In his statement, he said, “Currently, UPI payments from prepaid payment instruments (PPIs) can only be made using the web or mobile app provided by the PPI issuer.” He said that now it is proposed to allow the use of third party UPI apps to make UPI payments from PPI wallets. Shaktikanta says that this will increase customer convenience and promote digital payments for small value transactions.

TOI cites ET told Vivek Iyer, partner at Grant Thornton Bharat, says enabling UPI access for PPIs is a significant step towards increasing interoperability within the payments landscape. He said the RBI’s approach is to promote competition among different products.

Apart from this, let us tell you that from March 28, PhonePe has started its Unified Payment Interface (UPI) in the United Arab Emirates (UAE) for Indian travelers as well as NRIs living in the country. Starting services This service will now allow PhonePe users to make faster digital transactions at retail stores, restaurants and other tourist places by scanning QR codes. The service is being enabled by UAE’s leading bank Mashreq through its Neopay terminals. Notably, a recent report claimed that WhatsApp is testing international UPI payments through its mobile app for Indian users.