RBI raises limit for small-value offline digital payments
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New Delhi: The Reserve Bank of India (RBI) on Thursday raised the transaction limit for small-value digital payments in offline mode from Rs 200 to Rs 500 per transaction.
The directive, which will come into effect immediately, promotes the use of UPI-Lite wallet in areas where internet connectivity is weak or not available.
However, the overall limit for offline transactions remains Rs 2,000 to contain the risks associated with the relaxation of two-factor authentication.
According to the notification issued by the central bank, all other instructions related to small-value digital payments remain the same.
The RBI had proposed to increase the transaction limit in the monetary policy committee address on August 10.
Earlier this month, the RBI had proposed to facilitate offline transactions using Near Field Communication (NFC) technology to promote the use of UPI-Lite.
With inputs from agencies