Expand digital payments ecosystem: RBI asks state level bankers

Reserve Bank of India

Reserve Bank of IndiaThe banking regulator Reserve Bank of India had directed all state level bankers’ committees to take up one district each on a pilot basis for expanding digital payments ecosystem.

In a bid to strengthen the usage of the digital payments in the country, it has been decided that all state/UT Level Bankers Committees (SLBCs/ UTLBCs) will be identifying one district in their respective states/ UTs on a pilot basis in consultation with banks and stakeholders, the RBI mentioned in its official communique.

The State Level Bankers’ Committee was constituted in April 1977, as an apex inter-institutional forum to creating relevant coordination machinery across all states, on a uniform basis for development of the state.

The step comes post the RBI’s policy announcement last week.

“The identified district shall be allotted to a bank having significant footprint which will endeavour to make the district 100 per cent digitally enabled within one year, in order to enable every individual in the district to make/ receive payments digitally in a safe, secure, quick, affordable and convenient manner,” the RBI said.

This will comprise of offering the mandatory infrastructure and literacy to handle such transactions, it said.

The central bank said the SLBCs/UTLBCs should pledge to ensure that to the extent possible, districts identified are in alignment with the ‘Transformation of Aspirational Districts’ programme of the government.

“The allotment of the identified district to a bank should be done, as far as possible, through mutual consultation and voluntary acceptance by the bank.

“Further, SLBC/ UTLBC convenor banks are advised to monitor the progress made in this regard on a quarterly basis and report the same to concerned regional offices/ sub-offices of the Reserve Bank,” it said further. expand digital payments ecosystem


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