Press Release on Statement on Developmental and Regulatory Policies – 18 April 2022

Under Monetary Policy framework, Today RBI has issued Press Release on Statement on Developmental and Regulatory Policies. One of the key changes proposed under “Payments ad Settlement Systems” is Rationalisation of Net-worth Requirement for Bharat Bill Payment Operating Units.

Bharat Bill Payment System (BBPS) is an interoperable platform for bill payments and the scope and coverage of BBPS extends to all categories of billers who raise recurring bills.

Users of BBPS enjoy benefits like standardised bill payment experience, centralised customer grievance redressal mechanism, prescribed customer convenience fee, etc. BBPS has seen an increase in the volume of transactions as well as number of onboarded billers.

Basis RBI’s observation, there has not been a corresponding growth in the number of non-bank Bharat Bill Payment Operating Units (BBPOUs).  The current requirement of net worth for a non-bank BBPOU to obtain authorisation is INR 100 crore and it is viewed as a constraint to greater participation.

RBI has proposed to align the net worth requirement of non-bank BBPOUs with that of other non–bank participants who handle customer funds (like Payment Aggregators) and have a similar risk profile.  

Accordingly, the net worth requirement for non-bank BBPOUs is
being reduced to INR 25 crore.

The necessary amendment to regulations will be carried out shortly.


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