RBI introduces single-block-and-multiple debits functionality in UPI

Reserve Bank of India (RBI) has introduced a single-block-and-multiple debits functionality system in Unified Payments Interface (UPI), that would enable customers to mandate payment by setting aside funds in their bank accounts whenever required. This would simplify the payments in investing and e-commerce activities, bookings or buying government securities, etc., along with building a strong 2-fold trust between the customer and the merchant by assuring timely payments and secure funds in the account till actual delivery of goods and services.

The National Payments Corporation of India (NPCI) will be getting the instructions regarding the novel additions. The volume and value of UPI transactions continue to grow capturing a 42% share of digital payments transactions of person-to-merchant (P2M) and a 65% share in the volume of transactions in UPI person-to-person (P2P), according to Worldline. According to the latest data, 7.30 billion transactions took place in the month of November amounting to US$ 144 billion (Rs 11.90 trillion). Customers can block their funds in their accounts for various payments to facilitate smoother e-payments, increasing the efficiency of online checkouts during e-commerce transactions

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