The Ministry of Finance (MoF) on March 12, 2024, issued an Incentive scheme for the promotion of RuPay Debit Cards and low-value BHIM-UPI transactions (Person to Merchant) for the financial year 2023-24.
The following has been stated: -
•The Government has taken various initiatives to promote digital payments over the past few years, digital payment transactions have witnessed tremendous growth across the country with the number of transactions growing from 2,071 Crore in the financial year 2017-18 to 13,462 Crore in the financial year 2022-23.
•This incentive scheme will promote digital payments by incentivising banks and other payment system operators to build a robust digital payments ecosystem and to promote RuPay Debit Cards and BHIM-UPI as low-cost digital payment modes across all sectors and segments of the population.
•The Government approved the proposal to continue the “Incentive scheme for promotion of RuPay Debit Cards and low-value BHIM-UPI transactions (Person to Merchant)”, for one year and at a financial outlay of 3,500 Crore. This will provide financial incentives to acquiring banks as per the incentive rates and other details.
•The duration of the scheme is one year from April 01, 2023, to March 31, 2024.
•The Scheme shall be applicable to the Banks having operations in India and transactions done in India.
The detailed notification is given in the document attached below.
[Notification No. 9/27/2023 – FI (Part)1.]
