On August 27, 2021, the Reserve Bank of India (RBI) has issued the Reserve Bank of India Master Directions on Prepaid Payment Instruments, 2021 (MD-PPIs, 2021). The provisions of MD-PPIs shall apply to all Prepaid Payment Instrument (PPI) Issuers and System Participants. The purpose of the directions includes the following:
- To provide a framework for authorisation, regulation and supervision of entities issuing and operating PPIs in the country
- To foster competition and encourage innovation in this segment in a prudent manner while taking into account safety and security of systems and transactions along with customer protection and convenience and
- To provide for harmonisation and interoperability of PPIs.
Access the RBI’s Master Directions on PPI, 2021, HERE
*Tanvi Singh, Editorial Assistant has reported this brief.