{"id":59101,"date":"2022-07-02T10:52:53","date_gmt":"2022-07-02T05:22:53","guid":{"rendered":"https:\/\/enterslice.com\/learning\/?p=59101"},"modified":"2022-07-07T18:23:46","modified_gmt":"2022-07-07T12:53:46","slug":"payment-vision-2025-reserve-bank-of-india","status":"publish","type":"post","link":"https:\/\/enterslice.com\/learning\/payment-vision-2025-reserve-bank-of-india\/","title":{"rendered":"Payment Vision 2025: Reserve Bank of India"},"content":{"rendered":"<p class=\"has-drop-cap\">Since 2001, the Reserve Bank of India has been providing strategic directions and implementation plans for building a robust payment ecosystem in India. The Payment Vision 2025 released by RBI will ensure secure, reliable, accessible, efficient and affordable payment systems.These measures elaborated under the <strong>Payment Vision 2025<\/strong><sup><a href=\"https:\/\/rbidocs.rbi.org.in\/rdocs\/PublicationReport\/Pdfs\/PAYMENTSVISION2025844D11300C884DC4ACB8E56B7348F4D4.PDF\"><strong>[1]<\/strong><\/a><\/sup> document will enhance the financial security in rural areas and can bring a more focused approach towards digital and financial literacy.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Significant Achievements of Payments Vision 2019-2021<\/h2>\n\n\n\n<p>The Payment Vision 2025 also elucidates the accomplishments of Payment Vision 2019-2021 by adhering to the roadmap provided under the document. Some of the significant achievements are listed below:<\/p>\n\n\n\n<ul><li>The creation of a framework for a regulatory sandbox allows FinTechs from India to test their products without any regulatory compliance. Ensuring the significant presence of domestic payment system at international platforms.<\/li><li>Increase in Phone-Based Payment services.<\/li><li>Relaxation was granted over the fee levied by RBI for Real-Time Gross Settlements RTGS and National electronic Funds Transfer (NEFT) systems and their availability on a 24x7x365 <a class=\"glossaryLink\"  aria-describedby=\"tt\"  data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Basis&lt;\/div&gt;&lt;div class=glossaryItemBody&gt;In finance, the &amp;quot;basis&amp;quot; is a term with several applications, including representing the difference between the spot price and the future contract price of an asset, which is vital in investment(...)&lt;\/div&gt;\"  href=\"https:\/\/enterslice.com\/learning\/terms\/basis\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'>basis<\/a>.<\/li><li>Regular review of Interchange fees on use ATMs.<\/li><li>E-mandates for recurring financial transactions using cards \/ UPIs \/ PPIs.<\/li><li>Framework for regulating Payment Aggregator<\/li><li>Tokenisation of card transactions and Card-on-File Tokenisation<\/li><li>Establishment of Centralised Payments Fraud Information Registry (CPFIR)<\/li><li>JAM trinity (Jan Dhan, Aadhaar and Mobile)<\/li><li>Increase in mobile and internet banking users by 99% and 18%, respectively.<\/li><li>Reduction in use of Paper based instruments.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">New Payment Vision Document 2025<\/h2>\n\n\n\n<p>The core theme of RBI&rsquo;s Payment Vision 2025 is <strong>&lsquo;E-Payments for Everyone, Everywhere, Everytime (4Es)<\/strong>. The document envisions 6 attributes to provide every e-payment user with secure, fast, convenient, safe, affordable and accessible e-payment options.<\/p>\n\n\n\n<p>The Payment Vision 2025 establishes the RBI&rsquo;s approach toward facilitating users with less digital experience.The Payment Vision 2025 document aims for India to become a global power in Digital Payments. The RBI&rsquo;s Payments Vision 2025 document is presented across the five pillars of <strong>Integrity, Inclusion, Innovation, Institutionalisation, and Internationalisation.<\/strong><\/p>\n\n\n\n<p><strong>Integrity<\/strong><\/p>\n\n\n\n<ol type=\"1\"><li>Due to growing concerns over the OTP-based authentication in terms of cases of Phishing\/ Vishing and different Smishing models. An <strong>Alternative Authentication Mechanism<\/strong> for Digital Payment Transactions has to weave in for more secure transactions.<\/li><li>To ensure greater transparency and precision over unique identification and <strong>adoption of a single identity<\/strong> for an entity across multiple platforms. The RBI aims to broaden the scope, and relevance of Legal Entity Identifier (LEI) in areas like <a href=\"https:\/\/enterslice.com\/central-kyc-registry-in-india\"><strong>Know Your Customer<\/strong><\/a>( KYC), fraud detection etc. In all payment activities.<\/li><li>Expand <strong>Inter-operability to Contactless Card Payments<\/strong> in Offline Mode<\/li><li>Enhance Scalability and Resilience of Payment Systems<\/li><li>Support Online Dispute Resolution (ODR) System for Fraud Monitoring and Reporting<\/li><li>Provide enhancements to Central Payments Fraud Information Registry (CPFIR)<\/li><li>Provide Payee Name Look-Up for Fund Transfers<\/li><li>Increase Proportionate Oversight of Payment System Operators&rsquo; (PSOS)<\/li><li>Include Assessment of RTGS and NEFT Under Principles for Financial <a class=\"glossaryLink\"  aria-describedby=\"tt\"  data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;Market&lt;\/div&gt;&lt;div class=glossaryItemBody&gt;A market is a structured environment, either physical or virtual, where buyers and sellers convene to trade goods and services. This trading hub operates based on the principles of supply and(...)&lt;\/div&gt;\"  href=\"https:\/\/enterslice.com\/learning\/terms\/market\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'>Market<\/a> Infrastructures (PFMIS)<\/li><li>Explore Local Processing Of Payment Transactions<\/li><li>Study Related to the&nbsp; Creation Of Digital Payments Protection Fund (DPPF)<\/li><\/ol>\n\n\n\n<p><strong>Inclusion<\/strong><\/p>\n\n\n\n<ol type=\"1\"><li>&nbsp;To Enable <strong>Geo-Tagging of Digital Payment Infrastructure<\/strong> and Transactions<\/li><li>Regular review of guidelines for Prepaid Payment Instruments (PPIs).<\/li><li>Regulation of All Significant Intermediaries in the Payments Ecosystem and formulating feasible structures for Domestic and International markets.<\/li><li>Introduce enhancements to <strong>Cheque Truncation System<\/strong> (CTS), including <strong>One Nation One Grid Clearing and SettlementPerspective<\/strong><\/li><li>Extend Internal Ombudsman Scheme to All Payment System Operators&rsquo; (PSOs)<\/li><li>For Supporting Increase in Market Trading and Settlement Hours<\/li><li>Upscale Customer Outreach and Awareness Activities<\/li><li>Revisit Scope and Usefulness Of Payments Infrastructure Development Fund (PIDF) Scheme<\/li><li>Regulation of <strong>Big-techs &amp; Fin-techs<\/strong> in Payments Space<\/li><li>Continued Attempt for Collection and Publishing Granular, Disaggregated Payment Systems Data<\/li><li>Make Payment Systems More Inclusive<\/li><li>Undertake Review of Charges for All Payment Systems<\/li><li>Co-ordinate Migration of Govt. Receipts and Payments to Digital Form<\/li><\/ol>\n\n\n\n<p><strong>Innovation<\/strong><\/p>\n\n\n\n<ol type=\"1\"><li>Facilitate Framework for Internet of Things (IoT) and Context-Based Payments<\/li><li>Migration of&nbsp; all RBI-operated Payment System Messages to ISO 20022 Standard<\/li><li>Linking Credit Cards and Credit Components of&nbsp; Banking Products to Unified Payments Interface&nbsp; (UPI)<\/li><li>Creation of Payment System for Processing Online Merchant Payments using Mobile Banking\/&nbsp; Internet<\/li><li>Organise Payment Innovation Contests and Hackathons<\/li><li>Review Need for Multiple Payment Identifiers<\/li><li>Exploringappropriate guidelines for payments involving <strong>BNPL(Book Now Pay Later) Services<\/strong><\/li><\/ol>\n\n\n\n<p><strong>Institutionalisation<\/strong><\/p>\n\n\n\n<ol type=\"1\"><li>Institutionalised Review of Legislative Aspects of Payment And Settlement Systems Act Provisions And Regulations<\/li><li>Constitute <strong>Payments Advisory Council (PAC)<\/strong> to Assist Board for Payment and Settlement Systems (BPSS)<\/li><li>Operationalize National Card Switch for Card Transactions At POS And Resultant Settlements<\/li><li>Active Engagement and Involvement at International&nbsp; Platforms (Discussions for Setting Bodies)<\/li><\/ol>\n\n\n\n<p><strong>Internationalisation<\/strong><\/p>\n\n\n\n<ol type=\"1\"><li>Global Outreach for Transactions based on&nbsp; RTGS, NEFT, UPI And Rupay Cards<\/li><li>ExpandStructured Financial Messaging System (SFMS) and Indian Financial Network (INFINET) Frameworks Across Jurisdictions<\/li><li>2FA for Cross-Border Card Transactions<\/li><li>Seek Adoption of INR in Continuous Linked Settlement (CLS)<\/li><li>Bringing more Efficiency in Payment Processing and Settlements on Introduction Of Central Bank Digital Currencies (CBDCs) &ndash; Domestic And Cross-Borders<\/li><\/ol>\n\n\n\n<p>The <strong>five goal-posts of Payment Vision 2025 shall have the following 10 expected outcomes<\/strong> within the Vision Period:<\/p>\n\n\n\n<p>i. Volume of cheque-based payments to be less than 0.25% of the total retail payments;<\/p>\n\n\n\n<p>ii. Threefold increase in the number of digital payment transactions;<\/p>\n\n\n\n<p>iii. UPI to register average annualised growth of 50% and IMPS \/ NEFT at 20%;<\/p>\n\n\n\n<p>iv. Increase of payment transaction turnover in relation to GDP (Gross Domestic Product) to 8;<\/p>\n\n\n\n<p>v. Increase in <strong>debit card transactions at Point of Sale by 20%;<\/strong><\/p>\n\n\n\n<p>vi. Debit card usage to surpass credit cards in terms of value;<\/p>\n\n\n\n<p>vii. Increase in PPI transactions by 150%;<\/p>\n\n\n\n<p>viii. Card acceptance infrastructure to increase to 250 lakh;<\/p>\n\n\n\n<p>ix. Increase of registered customer base for mobile-based transactions by 50% CAGR; and<\/p>\n\n\n\n<p>x. Reduction in Cash in Circulation (CIC) as a percentage of GDP.<\/p>\n\n\n\n<p><strong>Conclusion<\/strong><\/p>\n\n\n\n<p>India has been continuously working on achieving financial inclusion in India to bring financial stability and economic development. This document will act as a yardstick for all the stakeholders (FinTechs and Payment Players) and will encourage them to enhance their potential by aligning with RBI&rsquo;s vision.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>: <mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/enterslice.com\/learning\/rbi-releases-framework-for-geo-tagging-of-payment-system-touchpoints\/\">RBI releases framework for geo-tagging of payment system touchpoints<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Since 2001, the Reserve Bank of India has been providing strategic directions and implementation plans for building a robust payment ecosystem in India. The Payment Vision 2025 released by RBI will ensure secure, reliable, accessible, efficient and affordable payment systems.These measures elaborated under the Payment Vision 2025[1] document will enhance the financial security in rural [&hellip;]<\/p>\n","protected":false},"author":65,"featured_media":59102,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[2620],"tags":[4585],"acf":{"service_id":"215"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v14.6.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Payment Vision 2025: Reserve Bank of India - Enterslice<\/title>\n<meta name=\"description\" content=\"The Payment Vision 2025 released by RBI will ensure secure, reliable, accessible, efficient and affordable payment systems.\" \/>\n<meta name=\"robots\" content=\"index, follow\" \/>\n<meta name=\"googlebot\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta name=\"bingbot\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterslice.com\/learning\/payment-vision-2025-reserve-bank-of-india\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Payment Vision 2025: Reserve Bank of India - Enterslice\" \/>\n<meta property=\"og:description\" content=\"The Payment Vision 2025 released by RBI will ensure secure, reliable, accessible, efficient and affordable payment systems.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterslice.com\/learning\/payment-vision-2025-reserve-bank-of-india\/\" \/>\n<meta property=\"og:site_name\" content=\"Enterslice\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/enterslice\" \/>\n<meta property=\"article:published_time\" content=\"2022-07-02T05:22:53+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-07-07T12:53:46+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/enterslice.com\/learning\/wp-content\/uploads\/2022\/07\/Payment-Vision-2025-Reserve-Bank-of-India.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"670\" \/>\n\t<meta property=\"og:image:height\" content=\"352\" \/>\n<meta name=\"twitter:card\" content=\"summary\" \/>\n<meta name=\"twitter:creator\" content=\"@enterslice\" \/>\n<meta name=\"twitter:site\" content=\"@enterslice\" \/>\n<!-- \/ Yoast SEO plugin. -->","authorName":"Raghvendra Sonker","authorImageUrl":"https:\/\/enterslice.com\/learning\/wp-content\/uploads\/2022\/05\/MicrosoftTeams-image-17.jpg","authorDescription":"Raghvendra Sonker has completed his Graduation from Gujarat National Law University. He has a keen interest in legal drafting, writing articles, and research papers. His core interest areas are Banking and Financial Issues.","postViews":530,"readingTime":4,"nextPost":{"id":59105,"slug":"new-guidelines-for-tds-on-virtual-digital-asset-and-cryptocurrency-cbdt"},"prevPost":{"id":59078,"slug":"requirements-for-general-insurance-broker-license-in-india"},"featuredMediaUrl":"https:\/\/enterslice.com\/learning\/wp-content\/uploads\/2022\/07\/Payment-Vision-2025-Reserve-Bank-of-India.jpg","postTerms":"RBI Notification","_links":{"self":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/posts\/59101"}],"collection":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/users\/65"}],"replies":[{"embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/comments?post=59101"}],"version-history":[{"count":0,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/posts\/59101\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/media\/59102"}],"wp:attachment":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/media?parent=59101"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/categories?post=59101"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/tags?post=59101"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}