There are 55 non-banking PPIs operational now, apart from 50 wallets promoted by banks. They were initially given time till December 31, 2017 to make those accounts KYC-compliant, which was extended to February 28.
According to reports, PPIs were feeling that the KYC requirement was very challenging and if the guidelines were to be implemented, they feared losing business as 90 per cent customers have been onboarded using the minimum KYC, which is giving the telephone number.
The PPI industry also feels that if KYC is done for mobile phones, the same should take care of security concerns.
As per the master directions issued on the matter last October, the RBI wants to make inter-operability between the PPI wallets and also with bank accounts and cards possible.
Apart from paying for purchase of goods and services, PPIs are used extensively for remittances currently, which offers a very lucrative business opportunity for agencies involved in carrying out remittances.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
