RBI raises IMPS transaction daily limit to Rs 5 lakh:
The Reserve Bank of India (RBI) on Friday (October 8, 2021) announced that it is increasing. The Immediate Payment Service (IMPS) daily transaction limit increased from Rs 2 lakh to Rs 5 lakh. The RTGS now operational round the clock, there has been a corresponding increase in settlement cycles of IMPS, thereby reducing the credit and settlement risks (HT)Since July 2019, RBI stopped levying charges on transactions through NEFT and RTGS, with an aim to promote digital transactions in the country.
What is IMPS?
Immediate Payment Service (IMPS) is a creative ongoing installment administration that is accessible nonstop. This assistance is presented by the National Payments Corporation of India (NPCI). Which engages clients to move cash quickly through banks and RBI-approved Prepaid Payment Instrument Issuers (PPI) across India. Pixies offer moment homegrown assets move office 24×7 through different channels viz – Mobile telephones, Smartphone-Bank App/SMS/WAP/USSD (NUUP), Basic telephone SMS/USSD (NUUP), Internet-Bank’s Internet banking office, and ATM-By Using ATM Card at Banks ATM. In view of the importance of the IMPS system and for enhanced consumer convenience, it is proposed to increase. The per transaction limit from ₹ 2 lakh to ₹ 5 lakh,” Governor Das said at the end of the bi-monthly Monetary Policy Committee (MPC) review meeting that started on Wednesday.
The per-transaction limit for SMS and IVRS channels is ₹5000. Meanwhile, the RBI on Friday decided to keep the benchmark interest rate unchanged at 4 percent but maintained an accommodative stance even as the economy is showing signs of recovery after the second COVID wave. The decision announced by reserve bank governor Shaktikanta Das while revealing the outcome of the bi-monthly monetary policy meet(MPC).
RBI had last revised its policy repo rate or the short-term lending rate on May 22, 2020, in an off-policy cycle to perk up demand by cutting interest rate to a historic low. The system is managed by the National Payments Corporation of India (NPCI).
“ECONOMICS IS EXTREMELY USEFUL AS A FORM OF EMPLOYMENT FOR ECONOMISTS.”
MPC decided to keep the benchmark repurchase (repo) rate at 4 percent. Das said while announcing the bi-monthly monetary policy review. Consequently, the reverse repo rate will also continue to earn 3.35 percent for banks for their deposits kept with RBI. Meanwhile, in order to ensure wider availability of payments acceptance (PA) through the point of sale (PoS) terminals and quick response (QR) codes. The RBI has proposed to introduce a framework for leveraging geo-tagging technology to target areas with deficient PA infrastructure.
Earlier this month, the Reserve Bank of India’s revised auto-debit rules came into force. As per the new auto-debit rules, all kinds of repetitive payments. Made especially through credit and debit cards and valued at ₹ 5,000 and above, preceded by a notification 24 hours. In advance informing the customers about the scheduled payment. In December last year, Real-Time Gross Settlement System (RTGS), used for large value transactions, made available round-the-clock. The move aimed at supporting the ongoing efforts aimed at global integration of the country’s financial markets, facilitating. The efforts to develop international financial centers, and providing wider payment flexibility to domestic corporates and institutions.
In December last year, the real-time gross settlement (RTGS) office. Which utilized for store moves up to Rs. 2 lakh made 27×7.