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Below is Perspective on RBI MPC Announcement by Mr. Ramesh Narasimhan, CEO, Worldline India

“RBI’s statement on Developmental and Regulatory Policies has touched upon all critical aspects in online and offline payments space. It is fueling the growth in digital payments across different consumer segments.

On e-mandates:

As consumer confidence is growing towards the adoption of digital payments, their preference for convenience is increasing as ever. Today’s announcement to enhance the limit of e-Mandates on Cards for Recurring Payments from Rs. 5000 to Rs 15000 is a welcome move as it will not only benefit consumers to set mandates for multiple categories of payments but also include more players from the insurance, education, and loan sectors.

On UPI linking to Cards:

UPI today is by far the most popular payment option for consumers online. In order to further deepen the reach and usage of UPI while keeping consumer preference at the epicenter, the RBI has offered an innovative solution to permit the linking of credit cards on to UPI platform. This will not only encourage consumers to continue making payments via UPI but also provide the benefit of short-term credit that credit cards extend.

On PIDF:

Concentration on enhancing the digital payment acceptance infrastructure is crucial for the growth of the ecosystem. Enhancing the subsidy amount and simplifying the subsidy claim process, etc will encourage more players to set up merchant acquiring services like POS and QR and this will eventually accelerate the deployment of payment acceptance infrastructure in the targeted geographies.”

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