What Are New Ideas Added In UPI?

The Unified Payment System is growing and is also getting better at everything. It has recently been said that a few more features will be added to the whole UPI. The system is basically based on a digital payment system. We daily use it to make our transactions smooth, quick and easy. As this has become the new norm, thus making it a much more important topic to keep updated. Indian Reserve Bank’s Governor Shaktikanta Das updated us regarding some new features.

Voices to operate UPI

It was informed by the National Payment Corporation of India, that they are planning to introduce a new feature which will make ‘Conversational Payments’ possible. According to Shatikanta Das, updating the UPI transactions to a Conversational UPI will create an environment of relief and easiness among the users. He points out that transforming the payments to a system which will allow us to conclude payments with an AI-powered system will lead to an easy handling position for the whole UPI system. The idea is to implement it both in our Smartphones and phone-based UPI systems. The languages which will be initially used for this are English, Hindi and, with more success, can be spread to other Indian languages.

Transformation of UPI Lite from Online to Offline

The second idea coming up is an offline payment system. The heavy need for the Internet for transactions becomes sometimes inconvenient. This UPI Lite, in combination with NFC, is trying to make payments easier and quicker. Near-Field Communications technology is trying to develop a system in which UPI users can tap their point-of-sale machine in their smartphone to make payments offline. The Monetary Policy Committee stated that in places where telecom connectivity is not available or the internet services are not available this offline feature in UPI Lite will help to make transactions smoothly and without any inconveniences. The transactions will proceed with any rare case of failure and will also keep up with a high transaction speed.

Increase of Transaction limit in UPI Lite

The last feature which is being updated is the limit of transactions in UPI Lite. The Reserve Bank of India has proposed to increase this limit per transaction from 200 to 500 in offline mode. The present UPI Lite limit for small-value digital per transactions is 2000 rupees. The whole limit of the transaction as well rests at 2000 only. This led to an appeal from RBI’s side3 to increase the limit of the transaction from 200 to 500. According to the governor, this increase in the limit will lead to an increase in users. It will help users to make a wide range of transactions and adopt the new and updated system of transactions, making it a more popular and widely spread used payment system.