Page 35 - Banking Finance August 2017

ARTICLE

National Financial Switch- NFS: "RuPay", the word itself has a sense of nationality in it.
"RuPay" is the coinage of two terms Rupee and Payment.
In August 2003, IDRBT has developed NFS to link together
"RuPay" has the benefits of low cost and affordability, cus-
the country's ATMs
tomized product offering, inter-operability between pay-
in a single network.
ment channels and products & protection of information
The NFS consisted of
related to Indian Consumers.
an inter-ATM switch
and an e-commerce payment gateway.With the untiring
"RuPay" cards were launched in March 2011. "RuPay" cards
efforts of Indian Banker's Association (IBA), NFS was taken
are issued as debit card, credit card & prepaid cards. In
over by NPCI on 14 December 2009. This NFS facilitates the
PMJDY accounts as of Nov2016, 19.36 crore "RuPay" cards
seamless ATM transactions.
issued. NPCI has already achieved a milestone of 300 mil-
lion "RuPay" cards in circulation. Number of consumers us-
IMPS:
ing "RuPay" cards on PoS and e-comm are also growing
IMPS offers an instant, 24X7, interbank electronic fund substantially.
transfer service
through mobile BharatQR:
phones.IMPS is an
National Payments Corp. of India through RuPay cards along
emphatic tool to
with MasterCard, Visa and Ameri-
transfer money instantly within banks across India through
mobile, internet and ATM which is not only safe but also can Express-under instructions
from the Reserve Bank of India
economical both in financial and non financial
(RBI), could jointly develop
perspectives.This facility is provided by NPCI through its ex-
isting NFS switch.The Banks approved by RBI for mobile BharatQR, a Quick Response Code
to enable digital payments with-
banking service are allowed by NPCI to participate in IMPS.
out card swiping machines/ Point
of Sale (PoS).
IMPS enables bank customers to use mobile instruments as
a channel for accessing their bank accounts and to remit
funds.It makes payment simpler just with the mobile num- USSD:
ber of the beneficiary. It builds the foundation for a full range It is a common technology platform developed by NPCI which
of mobile based Banking services. allows the Banks
and TSPs (Telecom
RuPay: Service Providers)
The vision of NPCI being able to provide citizens of our coun- to seamlessly integrate with each other to provide banking
try anytime, any- services to the customers at large over the mobile phones
where payment (basic as well as Smartphone).
services which are
simple, easy to One of the innovative payment service launched by NPCI
use, safe, and secure, fast and also cost effective. NPCI aims includes *99# service, which works on Unstructured Supple-
to operate for the benefit of all the member banks and the mentary Service Data (USSD) channel. This service was
common man at large. launched envisioning the potential of Mobile Banking and
the need for immediate low value remittances which will
RuPay, a new card payment scheme launched by the Na- help in financial deepening and inclusion of underbanked
tional Payments Corporation of India (NPCI), has been con- society in the mainstream banking services. *99# service
ceived to fulfill RBI's vision to offer a domestic, open-loop, was dedicated to the nation by the Honorable Prime Minis-
multilateral system which allows all Indian banks and finan- ter of India Shri Narendra Modi on 28th August 2014 as part
cial institutions in India to participate in electronic payments. of Pradhan Mantri Jan Dhan Yojana (PMJDY).

BANKING FINANCE | AUGUST | 2017 | 35

Sashi Publications Pvt Ltd Call 8443808873/ 8232083010