Card networks to make recurring payments to PIDF, support initial corpus

The Reserve Bank of India’s (RBI) payment infrastructure development fund (PIDF) scheme intended to create three million touch points in the country every year for digital payments with focus on developing payment infrastructure in tier-3 to tier-6 centres, has been operationalised. It will be valid for three years, effective January 1, 2021, but can be extended by two more years, if required.

While RBI will contribute Rs 250 crore towards the scheme initially, the authorised card networks are expected to put in Rs 100 crore. Furthermore, the card issuing banks will also contribute to the scheme based on the card issuance volume at the rate of Rs 1 and Rs 3 per debit and credit card issued by them, respectively. The RBI is expecting to get the collections done by the end of this month.