The Real-Time Gross Settlement (RGTS) service for fund transfers will un available for 14 hours on April 18, said the Reserve Bank of India (RBI).
“As technical upgrade of RBI’s #RTGS is scheduled after the close of business of April 17, 2021, #RTGS service will not be available from 00:00 hrs to 14.00 hrs on Sunday, April 18, 2021. #NEFT system will continue to be operational as usual during this period for #moneytransfers,” tweeted the RBI on Thursday.
According to RBI, The acronym ‘RTGS’ stands for Real Time Gross Settlement, which can be explained as a system where there is continuous and real-time settlement of fund-transfers, individually on a transaction by transaction basis (without netting). ‘Real Time’ means the processing of instructions at the time they are received; ‘Gross Settlement’ means that the settlement of funds transfer instructions occurs individually.
Last week, the central bank had proposed expansion of RTGS and NEFT facilities to non-bank payment system firms in a phased manner. The aim is to promote participation of non-banks across payment systems.