RBI UPDATE

Policy Guidelines on Issuance and Operation of Pre-paid Payment Instruments in India 

RBI has issued Master Circular on Policy Guidelines on Issuance and Operation of Pre-paid Payment Instruments in India to facilitate the Prepaid Payment Instrument Issuers, System Providers, System Participants and all other Prospective Prepaid Payment Instrument Issuers to have all the extant instructions on the subject at one place.

The guidelines lay down the eligibility criteria and the basic conditions for payment system operators involved in the issuance of Pre-paid Payment Instruments in the country. It further provides that all persons proposing to operate payment systems and involved in the issuance of Pre-paid Payment Instruments shall seek authorization from the Department of Payment and Settlement Systems, Reserve Bank of India, under the Payment and Settlement Systems Act, 2007.