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RBI Makes a Bold Move against Frauds

RBI on Indian bank note

Digital Payments

The Reserve Bank of India is looking to encourage wider adoption of online payments and hoping to come up with a regulatory framework of customer-protection measures tailor-made for digital transactions. Focusing at a ‘cash-lite’ society, RBI on  Wednesday released a vision document for ensuring a safe, secure, convenient, quick and affordable e-payment system as it expects the number of digital transactions to increase more than four times to 8,707 crores in December 2021.

Vision 2019-2021

The ‘Payment and Settlement Systems in India: Vision 2019-2021’, with its basic theme of ‘Empowering Exceptional (E)payment Experience’, envisages achieving “a highly digital and cash-lite society” through the goal posts of competition, cost-effectiveness, convenience and confidence (4Cs)

The RBI said the payment systems landscape will continue to change with further creative vision and entry of more players which is expected to ensure the affordable cost to the customers and easier access to multiple payment system options. “The Reserve Bank of India will implement the approach outlined in this Vision during the period 2019 – 2021,” it said. The number of digital transactions is expected to increase more than four times from 2,069 crores in December 2018 to 8,707 crore in December 2021.  The document speaks about creating customer awareness, setting up a 24X7 helpline and self-regulatory organization for system operators and service providers, among others. Mainly, the Payment Systems Vision 2021 has 36 specific action points and 12 specific outcomes.

No-compromise

“An ombudsman scheme is being formulated by RBI to provide a cost-free and expeditious avenue to tackle the rising number and complexity of complaints from this channel,” The RBI had been taking several steps to redress consumer complaints around digital payments, This move has mainly been made to protect the users and making it more liable and avoiding the frauds. The ‘no-compromise’ approach towards safety and security of payment systems remains a hallmark of the vision, the RBI added.

-Samarth Joshi

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