Industry experts view this as a positive step to for the underserved categories such as senior citizens and users from rural India, who have limited use of digital means in the framework of digital payments.
Increase in per transaction limit to ₹10,000 from ₹5,000 under UPI 123Pay and enhanced limits in UPI Lite is a big positive. (Image/PTI) The Reserve Bank of India has announced an increase in the transaction limits for the UPI 123Pay and UPI Lite. The per-transaction limit for the UPI 123Pay has been increased to ₹10,000 from the current limit of ₹5,000. Meanwhile, the transaction limit for the UPI Lite has been increased to ₹1,000 from ₹500.
The limit for the UPI Lite wallet has been increased to ₹5,000 from ₹2,000. “UPI has transformed India’s financial landscape by making digital payments accessible and inclusive through continuous innovation and adaptation. To further encourage wider adoption of UPI and make it more inclusive, it has been decided to enhance the per-transaction limit in UPI 123Pay from ₹5,000 to ₹10,000; and increase the UPI Lite wallet limit from ₹2,000 to ₹5,000 and per-transaction limit from ₹500 to ₹1,000,” said governor Shaktikanta Das.
Industry experts view this as a positive step to for the underserved categories such as senior citizens and users from rural India, who have limited use of digital means in the framework of digital payments.
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Increase in per transaction limit to ₹10,000 from ₹5,000 under UPI 123Pay and enhanced limits in UPI Lite is a big positive.
“Enhanced limits can be particularly useful to make utility bill payments and for payments to other users. This welcome move from the RBI comes after the Securities and Exchange Board of India’s (SEBI) directive to allow UPI-based block mechanism for funding secondary market trades in the capital market. Overall, the use-cases for UPI are increasing. This augurs well for both the consumer as well as for the industry, as payments become more efficient and convenient,” said Rahul Jain, chief financial officer at NTT DATA Payment Services India.