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NPCI receives approval from the RBI to extend mobile payments to merchant transactions

Wednesday 1 June 2011 10:50 CET | News

The National Payment Corporation of India (NPCI) has received approval from Indian financial institution the Reserve Bank of India (RBI) to extend mobile payments to merchant transactions, media outlet thehindubusinessline.com reports.

According to the source, NPCI is currently working on a pilot project with six Indian financial institutions, including ICICI Bank, Union Bank of India, State Bank of India and Kotak Mahindra Bank.

As a result, the RBI has given NPCI permission for channel integration of the Interbank Mobile Payment Service (IMPS) to allow customers to send money from ATM or the web to another persons mobile via a mobile money identification number. The IMPS is an application designed to enable users to perform account-to-account money in India using their mobile devices.

The source indicates that the process is expected to become operational by the end of August 2011.

The NPCI is the umbrella organization for all retail payment systems in India owned and operated by banks. In September 2010, seven India-based financial services providers have made the IMPS service available for their customers.


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Keywords: NPCI, RBI, mobile payments, merchant transactions, Interbank Mobile Payment Service
Categories: Payments & Commerce
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Countries: World
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