RuPay, India’s indigenous card payment network launched
Rupay, India’s own payment gateway was launched to compete with networks such as Visa and Mastercard. The indigenous network will work on ATMs and merchant outlets and help in bringing down cash transactions.
The RuPay is a blend of two terms — ‘Rupee’ and ‘Payment’. It has been developed by the National Payments Corporation of India (NPCI) and is being used by certain banks such as ICICI, State Bank of India, Punjab National Bank, among others, for clearing and settlement. The RuPay, which works on three channels — ATMs, Point of Sales (PoS) and online sales, is the seventh such payment gateway in the world. A variant of the pre-paid RuPay card would be launched by IRCTC soon, which will help in booking railway tickets.
Benefits of RuPay platform:
- Reduce the transaction cost
- Support creation of more domestic products
- Reach the unbanked sections
- Reducing number of cash transactions
- Availability at a cost much less than those of international cards
Categories: Economy & Banking Current Affairs