RBI releases framework for retail payments; invites applications from firms

RBI said the application for setting up the umbrella entity should contain a detailed business plan

The Reserve Bank on Tuesday unveiled the framework for setting up umbrella entities for operating pan-India retail payments systems and invited applications from eligible companies by February 26, 2021.

As per the framework, the companies with a net worth of over Rs 500 crore will be eligible to set up an umbrella entity which among other things will be permitted to set up, manage and operate new payment systems in the retail space comprising ATMs, White Label PoS, Aadhaar-based payments and remittance services.

"The Reserve Bank invites applications for the umbrella entity which shall be submitted in the prescribed form (Form A)