NPCI allows WhatsApp to start payments service in a 'graded' manner

The decision came after the NPCI also issued a statement saying that it had decided to impose a 30% cap on the share of UPI transactions that a single payment application can process

The National Payments Corporation of India (NPCI) on Thursday allowed Facebook-owned messaging platform WhatsApp to start its payments service in the country in a "graded" manner.

The announcement by NPCI came minutes after it limited a single third party like WhatsApp or its rivals like Google Pay or Walmart's PhonePe to handle only 30 per cent of overall UPI transaction volumes by putting a cap.

NPCI runs the Unified Payments Interface (UPI) used for real-time payments between peers or at merchants' end while making purchases.

Having a cap on the transaction volume will help in de-risking the entire set-up and is essential as