NEW DELHI : The scope of Bharat Bill Pay System (BBPS) shall be expanded to incorporate non-recurring payments and different sorts of single funds, mentioned Reserve Bank of India governor Shaktikanta Das on Wednesday whereas asserting the selections of the Monetary Policy Committee (MPC).
Currently, BBPS solely permits recurring invoice funds to retailers. This restricts its utilization for each clients making digital funds in addition to billers as particular person collectors can not settle for funds.
“It (BBPS) additionally doesn’t cater to invoice funds or collections corresponding to funds of charges for skilled providers, schooling charges, tax funds, hire collections and so forth, for people even when these are of recurring nature,” the governor said.
Single payments towards utilities and to merchants as well as recurring payments to individuals, such as landlords for rent, professional fees to chartered accountants, doctors, among others, could not be made on the BBPS platform until now. This will now be changed to include all types of payments.
The scope of BBPS is being enhanced to include all categories of payments and collections, both recurring and non-recurring in nature and for all categories of billers, both businesses and individuals, the governor said. “This will make the BBPS platform accessible to a wide set of individuals and businesses who can benefit from the transparent payment experience, faster access to funds and improved efficiency,” he added.
BBPS was launched in 2017 and is managed by the National Payments Corporation of India (NPCI).
In one other growth, the RBI has enhanced the capabilities of UPI (Unified Payments Interface) by permitting clients to dam funds of their checking account in the direction of a cost to a service provider via a cost mandate. This facility will allow clients to demarcate funds for particular functions.
“It has, due to this fact, been determined to introduce a single-block-and-multiple debits performance in UPI, which can considerably improve the benefit of constructing funds in e-commerce area and in the direction of investments in securities,” Das mentioned.
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