The Reserve Bank has asked the National Payments Corporation of India (NPCI) to hold consultations with banks and other stakeholders to explore the possibility of increasing UPI transaction limits based on evolving user needs.
In a statement issued today, RBI said appropriate safeguards must be in place to mitigate risks associated with higher limits. It added that banks will continue to have the discretion to decide their internal limits within the limits announced by NPCI.
Currently, person-to-person (P2P) and person-to-merchant (P2M) payments are capped at one lakh rupees, except for a set of specific merchant payments that are capped at five lakh rupees. RBI has said that the Person-to-Person (P2P) transaction limit will continue to remain capped at one lakh rupees.
