Reserve Bank of India (RBI) on May 15, 2019 released a vision document the ‘Payment and Settlement Systems in India: Vision 2019 – 2021’, with its core theme of ‘Empowering Exceptional E-payment Experience’.
- The document envisages to achieve “a highly digital and cash-lite society” through the goal posts of competition, cost-effectiveness, convenience and confidence (4Cs).
- The objective behind the new document is to ensure a safe, secure, convenient, quick and affordable e-payment system.
- The move comes as the apex bank expects the number of digital transactions to increase more than four times to 8,707 crore in December 2021.
- According to RBI the payment systems landscape will continue to change with further innovation and entry of more players which is expected to ensure the optimal cost to the customers and freer access to multiple payment system options.
- RBI said that the bank will implement the approach outlined in this Vision during the period 2019 – 2021. It further said that the approach of the RBI will continue to be of minimal intervention in the pricing of charges to customers for digital payments, all efforts will be made towards facilitating the operation of payment systems which are efficient and price-attractive.
About Cash-lite society
- A Cash-lite society is a Society where most of the purchases of goods or services are made by credit card or electronic funds transfer rather than with cash or cheques, it is an environment where money is spent without
being physically carried from one person to the other.
