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systems in India is working with AI4Bharat, an open-source
language artificial intelligence (AI) centre based at the Indian
Institute of Technology (IIT), Madras, to facilitate voice-
based merchant payments as well as peer-to-peer
transactions in local languages. The language model for this
system will be provided by AI4Bharat.

The central bank says users without internet access will be
able to make transactions using near field communication
technology, allowing for retail digital payments in situations
where internet or telecom connectivity is weak or not
available.

The Reserve Bank of India, in its monetary policy statement
in August 2023, proposed the launch of conversational
Y Speed and Efficiency: Voice commands can facilitate
payments on UPI. This will be an AI-powered system through
faster transaction processing compared to traditional
which consumers will be able to have a conversation and
initiate and close a transaction. Amazon Pay already payment methods like typing in credit card details or
entering passwords. This streamlined approach
supports voice based bill payments through Alexa
improves overall transaction speed and customer
commands.
satisfaction.
AI voice bots will soon facilitate UPI transactions through Y Improved Security: Contrary to initial concerns, voice-
interactive conversations, making UPI accessible for based payment systems have proven to be quite secure.
individuals from diverse backgrounds to manage their Advanced biometric authentication techniques, such as
everyday financial dealings. The National Payments voice recognition and speaker verification, add an
Corporation of India (NPCI) is building a voice bot based additional layer of security to prevent unauthorized
interactive system for Indian consumers to make payments transactions.
via UPI. The idea is to build an Amazon Alexa type voice
Y Opportunities for Businesses: For businesses, voice-
system into which payment apps and banks can integrate. based payment systems open up new opportunities for
Consumers who have to undertake multiple steps to make
seamless integration with existing services. Retailers can
payments via UPI will be able to just speak into the app.
easily implement voice-enabled payment options to
enhance the overall shopping experience, leading to
Benefits of Voice-Based Payment increased customer loyalty.

Systems
Security Considerations
Y Convenience: One of the primary advantages of voice-
based payment systems is the unparalleled convenience While voice-based payment systems offer improved security
they offer. Users can make transactions on-the-go, while compared to traditional methods, there are still some
driving, cooking, or performing other tasks, without the potential risks and concerns that developers must address:
need to manually enter sensitive payment information. Y Biometric Data Protection: Voice biometrics require
adequate protection to prevent unauthorized access or
Y Enhanced User Experience: Voice interfaces provide a
misuse of personal data. Companies must adhere to
more natural and intuitive way of interacting with
stringent data protection regulations to ensure user
technology. This approach reduces friction in the
privacy.
payment process, making it more accessible to a
broader demographic, including the elderly and visually Y Voice Authentication Accuracy: Ensuring high accuracy
impaired users. in voice recognition and speaker verification is essential

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