RBI allows wallets, cards to access RTGS, NEFT

New Delhi: The Reserve Bank of India (RBI) has decided to allow payment system providers, prepaid card issuers, card networks and white label ATM operators access to its Centralised Payment Systems (CPS), such as real time gross settlement (RTGS) and National Electronic Fund Transfer (NEFT) systems.

This would be the first phase of its plan to bring non-banks in the same platform.

In April, RBI had said that it would encourage participation of non-banks in Reserve Bank of India (RBI) -operated Centralised Payment Systems (CPS) — RTGS and NEFT systems — in a phased manner.

Direct access for non-banks to CPS lowers the overall risk in the payments ecosystem. It also brings advantages to non-banks like reduction in cost of payments, minimising dependence on banks, reducing the time taken for completing payments.