In a Notification dated 6th August, 2020 the Reserve Bank of India has informed that it will permit a pilot scheme to be conducted for a limited period under which authorised Payment System Operators (“PSOs”), banks and non-banks, will be able to provide offline payment solutions using cards, wallets or mobile devices for remote or proximity payments.
RBI has further provided the conditions under which the pilot scheme will be operated which provided in the Annexure of the Notification.
Please note that other entities having innovative solutions can also tie-up with the authorised PSOs.
Background:
The Statement on Developmental and Regulatory policies which was issued as a part of the Monetary Policy Statement in 6th August, 2020 (“Policy”) had proposed that the RBI would allow a pilot scheme for small value payments in offline mode. Absence of, or erratic, internet connectivity, especially in remote areas, is a major impediment for adoption of digital payments. Availability of options to make offline payments, using cards, wallets or mobile devices could boost the adoption of digital payments.
In light of these, the present pilot scheme has been launched.
Source: Reserve Bank of India
