e-RUPI: Reserve Bank of India has proposed raising the limit on e-RUPI vouchers to one lakh rupees

Finance Technology

e-RUPI, which was introduced to transmit welfare services to beneficiaries smoothly, is a system of prepaid digital vouchers sent straight to recipients’ phones. e-RUPI is a pre-digital payment method that is cashless and contactless.

The Reserve Bank of India (RBI) increased the e-RUPI prepaid digital vouchers cap. Governor Shaktikanta Das said on Thursday that the current ceiling of 10,000 rupees per voucher would be lifted to one lakh rupees per voucher, which may be used several times.

The maximum value of the single-use cashless payment voucher is ₹10,000. It is presently recommended that the ceiling on e-RUPI vouchers issued by the federal government and state governments be raised from ₹10,000 to ₹1,000,000 per voucher and that such e-RUPI coupons be used multiple times (until the amount of the voucher is ultimately redeemed). This will make it easier for the government to provide various government programs to their intended recipients.

The on-tap liquidity window for healthcare has been extended until 30 June, and the voluntary retention route ceiling has been enhanced by 1 lakh crore to 2.5 lakh crore. In May and June 2021, on-tap liquidity facilities of 50,000 and 15,000 crores were offered for emergency health services and contact-intensive sectors, respectively.

The governor said the third pandemic wave had slowed economic growth and low demand for contact-intensive industries. After the coronavirus epidemic, the RBI implemented an ultra-loose monetary policy. To provide ample liquidity to the economy, it lowered the key rate to a record low of 4%, which it has kept since May 2020.