The Reserve Bank of India has set a target to increase the number of digital transactions, from 2,069 crore in December 2018 to 8,707 crore in December 2021. In a vision dcoument, released on Wednesday, the central bank also said that service providers should set up pricing structures that are transparent, affordable, and do not restrict the public from accessing payment system services.

“The Reserve Bank will require service providers to bring about transparency in pricing. Reserve Bank would consider a review of its instructions on customer charge for its payment systems and shift from transaction value-based pricing slabs to a fixed minimum transaction-based pricing. The approach to pricing should be towards recovery of marginal costs and to migrate to a low margin-high volume regime,” the RBI said in a paper, Payment and Settlement Systems in India: Vision 2019-2021.

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 enhance customer experience, including robust grievance redressal, empower payment system operators and service providers, along with enabling the payments eco-system and infrastructure.

It also aims to put in place forward-looking regulations and undertake risk-focussed supervision. The ‘no-compromise’ approach towards safety and security of payment systems remains a hallmark of the vision, the banking regulator said in a statement.

“The payment systems landscape will continue to change with further innovation and entry of more players, which is expected to ensure 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 2019-2021. The previous vision document covered the period 2016-2018,” it added.

comment COMMENT NOW