24×7 fund transfers under NEFT from Dec 2019 to boost digital payments

With a view to boost digital payments, the Reserve Bank of India (RBI) will allow the National Electronic Funds Transfer (NEFT) payment system to operate on a 24×7 basis from December 2019. RBI Governor Shaktikanta Das said the move was expected to revolutionise the retail payments system of the country.

At present, the facility of NEFT — usually preferred for fund transfers of less than

Rs 2 lakh — is available between 8 am and 7 pm on all working days, except the second and fourth Saturdays of every month.