Context:
The National Payments Corporation of India (NPCI) is set to establish real-time payment link between India and the US.
- The initiative aims to leverage NPCI’s expertise in cross-border payments
Relevance:
GS III: Indian Economy
National Payments Corporation of India (NPCI):
- Purpose:
- Acts as an umbrella organization for managing retail payments and settlement systems in India.
- Initiative:
- Established as a joint initiative of the Reserve Bank of India (RBI) and the Indian Banks’ Association (IBA) under the Payment and Settlement Systems Act, 2007.
- Legal Status:
- Registered as a “Not for Profit” Company under Section 25 of the Companies Act 1956 (now Section 8 of the Companies Act 2013).
- Promoters:
- Promoted by ten major banks, including the State Bank of India, Punjab National Bank, Citibank, Bank of Baroda, and HSBC.
- Regulatory Board:
- Headquartered in Mumbai, it is governed by a regulatory board consisting of nominees from the RBI and ten core promoter banks.
-Source: The Indian Express, Hindustan Times
