PIB Delhi – Digital Payments transactions have been steadily increasing over last few years, as a part of Government of India’s strategy to digitise the financial sector and economy. Over the past four years, digital payment transactions have grown multifold from 3,134 crore in FY 2018-19 to 5,554 crore in FY 2020-21. During current financial year ie FY 2021-22, the total number of 7422 crore digital transactions have been reported till 28th February, 2022. Bharat Interface for Money-Unified Payments Interface (BHIM-UPI) has emerged as the preferred payment mode of the citizens and has achieved a record of 452.75 crore digital payment transactions with the value of Rs 8.27 lakh crore till 28th February 2022. Covid-19 pandemic has established that digital payments enable access to healthcare as well through contactless payment modes like BHIM-UPI QR code in consonance with the “new normal” of social distancing.
Reserve Bank of India (RBI), in exercise of the powers conferred by the Banking Regulation Act, 1949, the Reserve Bank of India Act, 1934 and Payment and Settlement Systems Act, 2007, has issued the Master directions, namely, Reserve Bank of India (Digital Payment Security Controls) directions, 2021 to the Regulated entities (REs) including Scheduled Commercial Banks, Small Finance Banks, Payment Banks and Credit Card issuing NBFC (Non Banking Financial Company. Further, digital payments are enabled through multi-factor authentication. The key objectives of multi-factor authentication are to protect the confidentiality of payment data as well as enhance confidence in digital payment by combating various cyber-attack mechanisms, like, phishing, keylogging, spyware/ malware and other internet-based frauds targeted at REs and their customers. A strong grievance redressal mechanism has been set up by the Government and RBI to address the grievances related to cyber financial frauds of the individuals, in a time bound manner.
Further, the Government of India as well as RBI have undertaken several steps to ensure safety and security of digital payments. The steps taken by the Government are placed at Annexure-I and the steps taken by RBI are placed at Annexure-II. Government in coordination with ecosystem partners are taking various initiatives for awareness of citizens for secure payment practices. Some of the steps taken are given below: Initiatives of Ministry of Electronics & Information Technology Pradhan MantriGramin Digital SakshartaAbhiyan (PMGDISHA):Ministry of Electronics & IT (MeitY) has undertaken “Pradhan MantriGramin Digital SakshartaAbhiyan (PMGDISHA)” to usher in digital literacy in rural India by covering 6 crore rural households (one person per household) by 31.03.2023. MeitY advised all Banks and Payment Service Providers to undertake awareness campaigns for promotion of secure payment practices and generate information security awareness. Materials are disseminated through portals – “www.infosecawareness.in”, “www.cyberswachhtakendra.gov.in”.
