Introduction
Source: RBI
The Reserve Bank of India has today placed on its website the Payment and Settlement Systems in India: Vision 2019 – 2021”. The Payment Systems Vision 2021 with its core theme of ‘Empowering Exceptional (E)payment Experience’ aims at empowering every Indian with access to a bouquet of e-payment options that is safe, secure, convenient, quick and affordable.
The Payment Systems Vision 2021 has been formalized based on inputs from various stakeholders and guidance of the Board for Payment and Settlement Systems (BPSS). It envisages achieving a ‘highly digital’ and ‘cash-lite’ society through the goal posts of Competition, Cost-effectiveness, Convenience and Confidence (4Cs).
With concerted efforts and involvement of all stakeholders, the Payment Systems Vision 2021, with its 36 specific action points and 12 specific outcomes, aspires to (a) enhance Customer experience, including robust grievance redressal;
(b) empower payment System Operators and Service Providers;
(c) enable the payments Eco-system and Infrastructure;
(d) put in place Forward-looking Regulations;
and (e) undertake Risk-focused Supervision. The ‘no-compromise’ approach towards safety and security of payment systems remains a hallmark of the Vision.
Note:
- The payment systems landscape will continue to change with further innovation and entry of more players which is expected to ensure the optimal cost to the customers and freer access to multiple payment system options.
- The Reserve Bank of India will implement the approach outlined in this Vision during the period 2019 – 2021. The previous Vision document covered the period 2016-2018.
Highlights
- Reserve Bank of India has released vision document on Payment and Settlement Systems in India.
- The Payment Systems Vision 2021 with its core theme of Empowering Exceptional (E)Payment Experience' aims at empowering every Indian with access to a bouquet of e-payment options that is safe, secure, convenient, quick and affordable.
- With its 36 specific action points and 12 specific outcomes, it also aims to achieve a 'highly digital' and 'cash-lite' society through the goal posts and 12 highly digital and cash-lite society through the goal posts of competition, cost-effectiveness, convenience and confidence(4Cs).
2019-2021
Key Points from Vision 2019-2021
- Reserve Bank of India Has released vision document on "Payment and Settlement Systems in India".
- The Payment Systems Vision 2021 with its core theme of Empowering Exceptional (E)Payment Experience' aims at empowering every Indian with access to a bouquet of e-payment options that is safe, The vision documents have envisaged four times growth in a digital transaction in two years.
- The RBI expects accelerated growth in individual retail electronic payment systems, both in terms of the number of transactions and increased availability.
- Payment systems like UPI and IMPS are expected to register average annualized growth of over 100%, and NEPT at 40%, over the vision period.
- A 35% growth has been targeted in the use of digital modes of payment for the purchase of goods and services through an increase in debit card transactions at Point-of-Sale(POS) terminals during the vision period.
2018
Achievements of Vision 2018
- Reserve Bank of India has released vision document on "Payment and Settlement Systems in IndiaThe Vision 2018 has facilitated
- Continued decrease in the share of paper-based clearing instruments;
- Consistent growth in individual segments of retail electronic payment systems such as the National Electronic Funds Transfer (NEFT), Immediate Payment Service(IMPS) and card transactions;
- Increase in registered customer base for mobile banking;
- Launch of new products like Unified Payments Interface (UPI) and QR(BQR);
- Significant growth in acceptance infrastructure;
- Acclerated use of Aadhar is payment systems.