Cabinet clears Rs 2,600 crore scheme to promote RuPay debit card, low-value BHIM-UPI transactions

The Union Cabinet on Wednesday approved a Rs 2,600 crore incentive scheme to promote RuPay debit cards and low-value transactions done through BHIM-UPI platform.

This incentive scheme is for a period of one year from April 2022. This is in line with the announcement made by Finance Minister Nirmala Sitharaman in the Union Budget presented in February 2022. In her Budget speech for FY 2022-23, the finance minister announced that the government would continue to provide financial support for digital payments.

The incentive scheme was first announced in the Union Budget for the financial year 2021-22 presented in February 2021. The scheme is aimed to promote the use of payment platforms that are economical and user-friendly.