MPAI, ADIF write to RBI for an extension of tokenisation deadline

MPAI and ADIF have in their letter highlighted several operational challenges that will hinder the transition to the token-based payments ecosystem

The Merchant Payments Alliance of India (MPAI) and the Alliance of Digital India Foundation (ADIF) have together voiced their concerns over industry readiness on the recent Reserve Bank of India (RBI) directive on card-on-file tokenisation (CoF) and have written to the Central bank requesting an extension of the December 31 deadline for implementation of card data storage norms. Both the industry body said that lack of preparedness will mean a loss of revenue of 20-40 per cent.

While the RBI’s objective of ensuring security and reducing fraud from the payment ecosystem through this policy change is a step in the right