RBI policy paper new players in retail payment systems through easy norms

The Reserve Bank of India Monday proposed to relax norms for allowing new players in retail payment systems, hoping to boost innovation and competition.

The RBI has been issuing guidelines for various payment systems and grants authorisation to non-banks for setting up and operating payment systems.

Licensed banks also need to obtain specific permission from Reserve Bank for setting up and operating a payment system. At the end of 2018, there were 89 authorised non-bank Payment System Operators (PSOs).

The RBI's policy paper on 'Authorisation of New Retail Payment Systems' proposes a multi-pronged policy action for a more appropriate level