RBI Plans Interoperable Internet Banking System

On 4th March, RBI Governor announced plans to introduce interoperable digital payment systems for internet banking.

Key Points

Approval Granted to NPCI Bharat BillPay Ltd: NPCI Bharat BillPay Ltd (NBBL) authorized to implement the interoperable system.
Expectation for 2024 Launch: Anticipation builds for the launch of the interoperable payment system within the current calendar year.
Challenges of Current System: Internet banking transactions face interoperability issues with Payment Aggregators (PAs).
Difficulty in Integration: Banks struggle to integrate with numerous PAs, hindering seamless transactions.
Impact on Merchants: Delays in payment receipt and increased settlement risks affect merchants negatively.