RBI by DNA India

RBI Policy : QR-based coin vending machine to be launched in 12 cities, says Das

On Wednesday, the Reserve Bank of India’s Governor Shaktikanta Das in his monetary policy address stated that the central bank would introduce a pilot project on QR code-based coin vending machine (QCVM) in 12 cities in the country.
The vending machines will be dispensing coins against debit to the customer’s account using Unified Payments Interface (UPI) rather than physical tendering of banknotes.

, said that the inflation in consumer price index is still above levels of comfortability
RBI Governor, Shaktikanda Das

According to the governor, “This will enhance the ease of accessibility to coins. Based on the learnings from the pilot, guidelines will be issued to banks to promote the distribution of coins using these machines.” The project will be unveiled in 12 cities initially which will benefit the common people, he said.

“The Reserve Bank of India will launch a pilot project on QR-based coin vending machine in 12 cities. These vending machines will dispense coins against debit to customers account using UPI instead of physical tendering of bank notes,” the Governor said in his speech.

He also emphasised that this will ensure the ease of access to coins. “Based on the learnings from the pilot will be issued to banks to promote distribution of coins using these machines.”

This was Das’ first monetary policy address of 2023 and the last one for this fiscal year, in which he’s made several key announcements.

The currency regulating body of the country also announced that all incoming travellers to India will be permitted to use UPI system for their merchant payments, starting with those arriving from G-20 countries.

UPI payments system has gained immense popularity for retail digital payments in India, and its adoption is increasing at a highly rapid pace.

According to NPCI, “Unified Payments Interface (UPI) is a system that powers multiple bank accounts into a single mobile application (of any participating bank), merging several banking features, seamless fund routing & merchant payments into one hood. It also caters to the “Peer to Peer” collect request which can be scheduled and paid as per requirement and convenience.”

As per BankBazar, “Unified Payments Interface (UPI) is a payment system that allows users to link more than one bank account in a single smartphone app and make fund transfers without having to provide IFSC code or account number. This is a real-time payment system where funds are credited instantly on a real-time basis.”

The RBI monetary policy committee headed by Shaktikanta Das hiked the repo rate by 25 basis points to 6.5 per cent today. In the mean time, the committee estimated India’s real GDP growth to be at 6.4 per cent for the next financial year.