{"id":20394,"date":"2024-02-12T07:03:28","date_gmt":"2024-02-12T01:33:28","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=20394"},"modified":"2025-04-06T01:01:56","modified_gmt":"2025-04-05T19:31:56","slug":"upi","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/upi\/","title":{"rendered":"What is Unified Payments Interface (UPI)?"},"content":{"rendered":"<h2>About Unified Payments Interface (UPI)<\/h2>\n<ul>\n<li>The UPI is a\u00a0digital and real-time payment system\u00a0developed by the\u00a0National Payments Corporation of India\u00a0(NPCI) and\u00a0regulated by the Reserve Bank of India (RBI).<\/li>\n<li>It was launched on April 11, 2016.<\/li>\n<li>It is designed to\u00a0enable peer-to-peer inter-bank transfers through a\u00a0single two-click factor authentication process.\u00a0<\/li>\n<li>Features:\n<ul>\n<li>Unlike traditional methods, UPI\u00a0simplifies transfers\u00a0using the recipient&#8217;s UPI ID, be it a mobile number, QR code, or Virtual Payment Address,\u00a0eliminating account numbers.<\/li>\n<li>It\u00a0eliminates the need to enter bank details or other sensitive information each time a customer initiates a transaction.<\/li>\n<li>A\u00a0consistent UPI transaction PIN\u00a0across apps enhances cross-operability, enabling 24\/7 transactions.<\/li>\n<li>UPI operates as a\u00a0digital public infrastructure, allowing seamless interactions for all players, including merchants and customers, without transaction costs.<\/li>\n<li>PI\u00a0uses technologies like the Immediate Payment Service (IMPS) and the\u00a0Aadhaar-Enabled Payment System (AEPS)\u00a0to ensure that payments between accounts\u00a0go smoothly.\u00a0<\/li>\n<li>It\u00a0facilitates push (pay) and pull (receive) transactions and\u00a0even works for over-the-counter or barcode payments, as well as for\u00a0multiple recurring payments\u00a0such as utility bills, school fees, and other subscriptions.<\/li>\n<li>It also\u00a0works with &#8220;Peer-to-Peer&#8221; requests, which can be scheduled and paid for based on need and convenience.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h2>What is the National Payments Corporation of India (NPCI)?<\/h2>\n<ul>\n<li>NPCI is an umbrella organisation\u00a0for operating retail payments and settlement systems in India.<\/li>\n<li>It is an\u00a0initiative of the RBI\u00a0and the Indian Banks\u2019 Association (IBA) under the provisions of the Payment and Settlement Systems Act, 2007, to create a robust Payment &amp; Settlement Infrastructure in India.<\/li>\n<li>The\u00a0ten main promoter banks of NPCI are Punjab National Bank, State Bank of India, Canara Bank, Union Bank of India, Bank of Baroda, ICICI Bank Limited, Bank of India, HSBC, Citibank, and HDFC Bank Limited.<\/li>\n<li>It has been incorporated as a\u00a0Not-for-Profit Company\u00a0with an intention to provide infrastructure to the entire banking system in India for physical as well as electronic payment and settlement systems.<\/li>\n<li>NPCI is\u00a0focused on bringing innovations to retail payment systems through the use of technology to achieve greater efficiency in operations and widen the reach of payment.<\/li>\n<li>The\u00a0regulatory board of the NPCI, headquartered in Mumbai, includes nominees from the RBI along with nominees\u00a0from ten core promoter banks.<\/li>\n<\/ul>\n<hr \/>\n<h3>Q1) What is the Immediate Payment Service (IMPS)?<\/h3>\n<p>Immediate Payment Service (IMPS) is a mode of money transfer from one bank account to another in the Indian banking system. The system enabled 24x7x365 real-time, interbank, electronic money transfers when there was only NEFT and RTGS facilities available in India. Citizens could access the facility through multiple channels, such as mobile phone, ATM, the internet, and SMS.<\/p>\n<p><strong>Source:<\/strong> <a href=\"https:\/\/www.newindianexpress.com\/business\/2024\/Feb\/11\/upi-services-to-be-launched-in-sri-lanka-mauritius-on-monday\" target=\"_blank\" rel=\"nofollow noopener\"><u>UPI services to be launched in Sri Lanka, Mauritius on Monday<\/u><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The UPI is a digital and real-time payment system developed by the National Payments Corporation of India (NPCI) and regulated by the Reserve Bank of India (RBI).<\/p>\n","protected":false},"author":5,"featured_media":20395,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-20394","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-prelims-current-affairs","8":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/20394","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=20394"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/20394\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/20395"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=20394"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=20394"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=20394"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}