PAYMENTS VISION 2028

NEWS: The Reserve Bank of India (RBI) has released its ‘Payments Vision 2028’ document, titled Shaping India’s Payment Frontier.

ABOUT

• A comprehensive policy framework+ roadmap designed to guide the evolution of India’s payment systems.
• Marks a transition from just expanding reach to scaling global dominance = digital ecosystem is secure, interoperable, and resilient against emerging cyber threats.
• Organization Involved: Reserve Bank of India (RBI).
• The primary goalàempower users while providing robust safeguards against fraud.

Key Features:

• Proposes a unified framework for Trade Receivables Discounting Systemsà to streamline MSME financing and extend services to export-oriented MSMEs.
• Payments Switching Service (PaSS)àA centralized service allowing customers to migrate payment instructions seamlessly when switching bank accounts
• Switch On/Off facility for all digital payment modes (UPI, IMPS, etc.)
• Shared Liability Framework–>Where both issuing and beneficiary banks share liability for unauthorized transactions to protect consumers.
• Cyber Key Risk Indicatorsà for non-bank payment operators to provide early warning signals for potential security breaches.
• A Single-Window authorization for international payments and periodic benchmarking of transaction costs and speeds against global standards.
• Reviewing physical cheque security while introducing Electronic Cheques to merge traditional reliability with digital speed.
• Creation of an AI-enabled payments data repository=better transparency + research-led policy making.