#upi payment system

[newsso]

How to Create UPI ID: A Step-by-Step Guide

How to Create UPI ID: A Step-by-Step Guide

Do you want to know how to create UPI ID? Get all your queries solutions. UPI or Unified Payment Interface is a payment system that allows users to transfer money from one bank account to another instantly. It is a popular payment method in India, and more and more people are using it to make digital payments. To use UPI, you need to create a UPI ID, which is a virtual payment address. In this…

[news4nose]

In the rapidly evolving Digital Payments scenario, India has emerged as a global leader in electronic payment systems. With a booming digital economy, the country opts four specific ways to transfer funds. Do you know how to make the best choice for transferring funds and what factors to consider?

[trendingtechguruji]

National Automated Clearing House (NACH): Transforming Payment Systems for the Digital Era

In an increasingly interconnected and digitized world, the need for efficient and secure payment systems has become more pressing than ever. The National Automated Clearing House (NACH) is an innovative electronic payment system that has emerged as a game-changer in the realm of digital transactions. In this article, we will delve into what NACH is, how it works, and the benefits it offers to businesses and consumers alike. Read More

[shaktiknowledgeblog]

online transaction | Online Payment | UPI | RBI | digital India | Online Payment System

India’s digital revolution got wings, RBI itself was surprised to see the figures for last one year Online Payment System: The world has become a fan of India’s payment ecosystem. We Indians are doing so many online transactions that other countries of the world are demanding this system from us. India’s Digital Revolution: India is now counted among those countries of the world, where people…

[shikhachopra]

Paytm Payments Bank Limited or PPBL has introduced an option to link Rupay Credit Card with UPI, hence a RuPay Credit Card on UPI. This will further make the payment system more convenient for both customers and merchants. PPBL is aiming towards making people adapt more and more to RuPay Credit Cards. Thus boosting the … The post Paytm Payments Bank Enables Users to Link RuPay Credit Card With UPI appeared first on Viral Bake.

[online-payment-tips]

Types of payment methods for small businesses

The first thing you must decide is what types of payments your company will accept. In general, there are four online payment methods through any online payment gateway to consider:

Bank transfer

A bank transfer, also known as a wire transfer or credit transfer, is a method of transferring funds electronically from one person or entity to another. A wire transfer is a transfer of funds from one bank account to another. The consumer is given a unique reference number as well as information about the bank account where they can make their payment. The entire process is very safe and secure because both account holders must have a proven identity and there is no chargeback possibility. Bank transfer is very convenient for shoppers who do not have a credit card or do not wish to use one to complete a distance sale payment via internet, phone, or mail.

Credit card payment

Credit card payment is a method for customers to voluntarily use their credit card to pay into the accounts of others via the Internet. When the payment is successful, it is immediately deposited into the merchant's account. The credit card payment method is more adaptable and has a broader range of applications. To make a payment, you can use a credit card in a variety of ways. The first is similar to a direct bank transfer in that money is transferred directly from the credit card to the bank account provided by the other party; the second is that the payment can be completed via the credit card payment channel. This method is a relatively mature payment method that is primarily used in online business trade. The third-party payment company uses the payment to the third-party payment company's account, and then the third-party payment company remits the payment to the designated account.

E-Wallet:

E-wallets are a type of Secure Electronic Transaction (SET), which is a type of computer software that allows consumers to conduct electronic transactions and store transaction records. Before consumers can conduct secure electronic transactions on the Internet, they must first install a secure electronic wallet.

There are two types of electronic wallets. The first is pure software, which is primarily used for online consumption and account management. This software is typically linked to bank accounts or bank card accounts. The smart stored-value card for micropayments is the second option. The cardholder deposits money into the card ahead of time, and the transaction amount is deducted directly from the stored-value account during the transaction.

Mobile payment:

Mobile payment refers to the use of mobile phones and other electronic devices by mobile clients to make electronic money payments. Mobile payments effectively combine the Internet, terminal equipment, and financial institutions to form a new type of payment system, and mobile payments are capable of doing more than just money transfers. You can also use it to pay for living expenses like phone bills, gas, water, and electricity. Mobile payment has created a new payment method, increasing the popularity of electronic money.

Online payment methods for small business

Online payment is a new technology that can help you gain more customers, save money, and simplify the accounting process. However, it is prudent to research the best online payment gateway for small businesses in order to find a solution that meets your requirements.

The bank guarantees the security of online payments. When the user selects online payment and enters his bank card information, he has actually left this site's server and arrived at the bank's payment gateway.

Major payment companies have also made unwavering efforts in this area. Using Visa as an example, Visa's strategy for ensuring payment industry security is to promote closer cooperation and communication among relevant stakeholders, as well as to implement multi-level security protection. In a nutshell, safety is a shared responsibility. There is no "magic bullet" that can eliminate everything. Visa believes that the security of the entire payment industry is determined by the weakest link in the payment system, not by the security measures implemented. In other words, the best way to effectively ensure the security of the entire payment industry is to improve the anti-risk capability of each weak link in the payment system.

[beardedmrbean]

SEOUL, Sept. 14 (UPI) -- South Korea has fined U.S. tech giants Meta and Google a combined $71.8 million for collecting user information without consent and using it for customized advertisements, regulators announced Wednesday.

The country's Personal Information Protection Commission hit Google with a $49.7 million fine and Meta, the parent company of Facebook and Instagram, $22.1 million.

The penalties are the highest ever by South Korea for violations of data protection laws, the regulatory watchdog said in a statement.

The commission said that Google and Meta did not clearly inform users or obtain their consent to collect and analyze personal online usage data, which was then utilized to create customized advertisements.

RELATEDFacebook to shut down gaming app in October

According to the watchdog, more than 82% of Google users and 98% of Meta users in South Korea have had their browsing and purchasing data from third-party sites harvested by the companies without their knowledge.

Yoon Jong-in, chairman of the PIPC, said that the accumulated data represents "a risk of serious infringement of individual privacy."

The regulators also ordered Google and Meta to clearly inform users when their information is being collected and used and to obtain their consent in a way that enables them to maintain their right to privacy.

RELATEDGoogle, Amazon employees protest $1.2 billion deal with Israel

Both companies disagreed with Wednesday's ruling.

"While we respect the PIPC's decision, we are confident that we work with our clients in a legally compliant way that meets the processes required by local regulations," a Meta spokesman said in a statement emailed to UPI.

"As such, we do not agree with the PIPC's decision, and will be open to all options including seeking a ruling from the court."

RELATEDFacebook gives info on Myanmar war crimes, genocide, U.N. investigators say

Google expressed "deep regrets" after the announcement and said it would continue to communicate with the commission.

Wednesday's announcement is not the first time South Korean regulators have tangled with U.S. tech powerhouses. Last September, the country's antitrust watchdog fined Google nearly $180 million for abusing its dominance in the mobile operating systems and app markets.

South Korean legislators also passed a groundbreaking law last year that prevents Google and Apple from forcing mobile developers to use their proprietary payment channels for in-app purchases.

[ifmfincoachinfo]

Digital Payments In Today’s World

Since the time of the stone age, we have witnessed several changes in all aspects of life forms. The oldest form of commerce, the barter system involved the exchange of goods and services between two or more parties without the use of money.

Later, the currency system emerged where the elites of Lydia and Ionia used stamped silver and gold coins to pay armies.

The Evolution of Money - Barter to Cryptocurrency

Throughout the years, like all life forms, economics and payments have seen a drastic change. From the barter system to the currency system, humankind has successfully adapted innovative technologies.

Today, we are witnessing the era of digital payments. The current payment methods are already a key indicator of our progress. They are powered by cutting-edge technology and boast our current technological advancements. 

In fact, a number of countries like Sweden, Finland, the UK, China and Norway have already moved to a completely cashless society or are on their way to becoming one.

The concept of a cashless society is increasingly becoming popular. Payment methods like UPI, NEFT, Point-of-Sales terminals, and mobile wallets are preferred as they are single-click authentication. 

Digital Payments in India

India has shown the world that they are a real-time digital payment by almost 40 per cent of all transactions. As a matter of fact, Prime Minister Narendra Modi praised UPI - Unified Payment Interface and the fintech sector on the occasion of Independence day. 

According to the latest data, India’s digital payment market is expected to rise more than triple to $10 trillion by 2026. At the same time, digital payment methods including UPI transfers and credit card transactions will likely reach saturation point in India by FY27.

However, the cash flow will still be used. Such a transformation of the financial landscape will definitely observe intense involvement for business, society and government. 

Having said that, let's have a look at the benefits and drawbacks of digital payments to understand why countries need to be even more adaptive to such payments soon.

Benefits

Digital payments provide better transparency in the transactions, which reduces the instances of money laundering & theft.

Extremely easy to track all the payments you make accurately and in real-time.

Digital payments can massively reduce the time and cost used to handle & store physical currency. 

Faster transactions, making it easier and more convenient for both the retailer & the customer.

Tradition banking transactions charge some handling fee. However, Online Transactions are usually free, making transactions less costly.

Drawbacks

A potential risk of personal & financial data breach, in case the websites don’t have high-security measures in place.

Digital Payments rely upon internet connectivity heavily. So, when the internet connectivity is not there or the servers are down, it will be challenging for people to make transactions/payments.

Instances of impulsive buying may rise since you have to swipe or click to complete the transaction without needing to check your balance.

Taking all the benefits and drawbacks into consideration, digital payments come as a boon and have made our lives much easier than before.

At the same time, online retailers have a wide variety of security tools, For example - they encrypt data on the systems, Pay Pal’s security has a second authentication factor, SSL certificates, firewalls and regular system scans.

On the consumer end, there’s an option of creating strong passwords, sign up and anti-virus software up-to-date. 

However, many still prefer to be more inclined toward traditional transaction methods. Ultimately, it all comes down to the personal preference of the person making the transaction, whether they want to go digital or stick to cash transactions only. 

The Rise of Ecommerce

For all the reasons outlined above, online transactions are safe and secure. The shift in E-Commerce also played a pivotal role in promoting the use of digital payments, If data is to be estimated, there are around more than 289 million buyers buying things online. At the same time, it is expected to grow at a rate of 9.5% per year. 

The more the use of E-commerce websites the more digital payments. Furthermore, it is also related to the strong accessibility to the internet.

Millennials are raised with internet usage and online shopping. This generation spends more money online than any other age group. Clearly, online payments are clearly the way of the future. But, the only concern that needs to be taken care of is security.

However, all cash is not the solution. So, where are we leading? Is a cashless society the future? Let’s move to the conclusion to know about the changed behaviours and alternate payment options. 

Is a cashless society the future?

Today, technological innovation has made financial transactions seamlessly possible on computers and mobile devices. Now it is taken for granted, going forward.

Clearly, caution should still be exercised. Yet experts in a post-pandemic world say that it is likely that digital payments will become increasingly popular.

At the same time, with our transactions quicker, faster and better, caution should be taken regarding vulnerable people around us.

[back2lol-blog]

The Importance of IFSC Codes in Indian Banking

The Indian Financial System Code, commonly referred to as IFSC or Indian Financial System Code, is an eleven-character alphanumeric number that uniquely identifies bank branches and their associated NEFT or RTGS codes. This system was created by the Reserve Bank of India (RBI).

These IFSC codes are essential for Indian banking as they enable all online transactions such as the National Electronic Funds Transfer (NEFT), Real Time Gross Settlement (RTGS) and Immediate Payment Service (IMPS). Not only do these IFSC codes prevent errors from occurring but they make transfers quicker and smoother too.

Identifying a Bank Branch

The Importance of IFSC Codes in Indian Banking

The Indian Financial System Code (IFSC) is an 11-character alphanumeric code used by banks to identify their branches across India. This unique system ensures funds are directed correctly to the right bank branch within each nation.

IFSC codes are essential for many reasons, such as speed and efficiency, enhanced security, and nationwide coverage. Furthermore, they make online money transfers simpler which benefits both parties involved in the transaction.

The IFSC (International Financial System Code) is an eleven-character alphanumeric code that uniquely identifies each bank branch. This code is utilized by NEFT, RTGS and IMPS systems to guarantee funds transfer to their intended destination. Furthermore, IFSC codes enable tracking transactions which helps reduce errors and fraudulence.

Identifying a Beneficiary Account

Bank IFSC codes are 11-character identification numbers which uniquely identify every bank branch in India participating in the NEFT, RTGS and IMPS payment systems. These help banks settle and validate transactions quickly between branches by expediting settlement processes.

IFSC codes simplify paperwork and enable individuals and organizations to transfer funds online without visiting a branch, saving banks valuable time, effort, and manpower.

If you need to look up an IFSC code, there are various resources such as the Reserve Bank of India website that can be utilized. Nevertheless, it's wise to double-check its accuracy with the relevant bank before transferring funds elsewhere.

Indian banking relies heavily on IFSC codes. They guarantee your money is transferred to its intended beneficiary promptly and efficiently, making IFSC codes essential when doing online transfers or using services like net banking.

Identifying a Bank Account

The IFSC code is a unique identification that's needed when transferring funds online through various methods such as National Electronic Fund Transfer (NEFT), Real Time Gross Settlements (RTGS), Immediate Payment System (IMPS) and Unified Payment Interfaces (UPI). Additionally, this helps identify a beneficiary account by providing their bank details.

It is essential to comprehend that an IFSC code consists of eleven alphanumeric characters, consisting of letters, numbers and symbols. The first four characters represent a bank name while the last six are either numbers or letters representing branch codes.

Indian banking relies heavily on IFSC codes, which are used to uniquely identify each bank branch. You may find IFSC codes on various documents like cheque books and account statements.

Online Fund Transfer

IFSC codes are an integral component of modern banking when transferring funds online. They identify the bank branch where your account is registered for NEFT, RTGS and IMPS transactions.

When sending money overseas or within India, the recipient's IFSC code is essential for smooth processing. To locate this number, check their cheque book or passbook.

An IFSC code is an 11-digit number issued by the Reserve Bank of India to all Indian banks and their branches. The initial four characters identify the bank, while the following six correspond to a particular branch.

[addqrcode]

ADD QR CODE

What is ADD QR code? Its quick response code and define as the many terms to complete transaction quickly as well as clarifying all details with current transaction.

Similarly ,its describe fastest transaction mode services like email ,visiting card, identity card ,URL, social media etc. and scan with quick responsive code throughout the whole world because its the easiest mode to transfer money from one individual to another individual.

How its work? Its work on different ways are as follows:- Download search engine any site and apply all description with relevant information such as name, phone no., color , quick response code pattern and so on. Before, we scan quick response code download all the details and get the password while ,using quick response code. After that ,quick response code scan with android phone . Symbolize, with black and white color pattern. After, completion of payment scan with quick response code it shows lacking current information  with total payment bill with green right sign.

Functions of ADD QR code? It works faster and transact currency anywhere. On the other hand ,it restore all data and work remotely with different logos. Consequently ,it scan currency remotely with in a second without any cash payment. It scan quick response code with different app mode such as UPI ,Aadhar pay ,BHIM ,Google pay ,Phone pay . Reliable source of medium easily scan quick response code any rural or urban area without any systemization. Work as low cost ,low range frequency ,minimum limit of time and so on.

Types of ADD QR code? Bharat QR UPI QR Proprietary QR Aadhar pay BHIM Google pay Phone pay

This is assured and reliable source of medium to work randomly with different services such as email , visiting card , identity card , URL , Social media etc.  furthermore, it avoid times complexity ,and transfer highly cash with scan quick response code.

[nbfc-advisory]

UPI, how it changed and will be impacting the Fintech industry in 2023

A report by CLSA verified that UPI corporates to 60% of entire payments — and digital payments have increased from $61bn in 2016 to $300bn in 2021.

Learn More: FinAccountants.com

[wordexpress]

Nirmala Sitharaman's prediction for India's economy as IMF cuts global growth

Nirmala Sitharaman said growth will be among the top priorities of the Narendra Modi government and attention will be paid to sustaining the momentum that the Indian economy has got coming out of the Covid-19 pandemic.

Union finance minister Nirmala Sitharaman, who is in the US to attend the annual meetings of the International Monetary Fund (IMF) and the World Bank, on Tuesday forecasted India’s growth rate to be around 7 per cent this financial year.

Sitharaman said growth will be among the top priorities of the Narendra Modi government and attention will be paid to sustaining the momentum that the Indian economy has got coming out of the Covid-19 pandemic.

Her statement comes even as the IMF, in its latest projection, predicted India’s GDP growth to be 6.8 per cent — down from a January projection of 8.2 per cent and in July estimate of 7.4 per cent. However, despite the slowdown, India would remain the fastest-growing major economy.

The IMF said on Tuesday global growth is expected to slow further next year, downgrading its forecasts as countries grapple with the fallout from Russia’s invasion of Ukraine, spiraling cost-of-living and economic downturns.

The world economy has been dealt multiple blows, with the war in Ukraine driving up food and energy prices following the coronavirus outbreak, while soaring costs and rising interest rates threaten to reverberate around the globe.

“I am aware that growth forecasts around the world are being revised lower. We expect India’s growth rate to be around 7 per cent this financial year. More importantly, I am confident of India’s relative and absolute growth performance in the rest of the decade,” she said addressing a gathering in Washington.

Sitharaman, however, observed that the Indian economy is not exempt from the impact of the world economy. “No economy is,” she said.

“After the unprecedented shock of the pandemic, came the conflict in Europe with its implications for energy, fertiliser and food prices. Now, synchronised global monetary policy is tightening in its wake. So, naturally, growth projections have been revised lower for many countries, including India. This triple shock has made growth and inflation a double-edged sword,” Sitharaman said.

After the Russia-Ukraine conflict started in February 2022, there was a sharp increase in food and energy prices. India had to ensure that the rising cost of living did not lead to lower consumption through erosion of purchasing power.

“We addressed these multiple and complex challenges through a variety of interventions. One, India ramped up its vaccine production and vaccination. India has administered over 2 billion doses of vaccine produced domestically. Two, India’s digital infrastructure ensured the delivery of targeted relief Third, in 2022, after the conflict erupted in Europe, we ensured adequate availability of food and fuel domestically, lowered import duties on edible oil and cut excise duties on petrol and diesel. The central bank has acted swiftly to ensure that inflation did not get out of hand and that currency depreciation was neither rapid nor significant enough to lead to a loss of confidence,” the minister said.

Sitharaman said India is discussing with different countries to make Rupay acceptable in their nations.

“Not just that, the UPI (Unified Payments Interface), the BHIM app, and NCPI (the National Payments Corporation of India) are all now being worked in such a way that their systems in their respective country, however, robust or otherwise can talk to our system and the inter-operability itself will give strength for Indians expertise in those countries,” she said.

[deepanshu14]

Top 10 Recharge & Bill Payment Websites in India

There was a time when people used to visit recharge shops to recharge their mobile numbers. At that time, people take a good amount of time from their busy schedule to visit their nearest recharge shops 2-3 days before the day of recharge. That shopkeeper charges an amount of money for his services based on the recharge amount. And for utility bills like electricity bills, gas bills, water bills, landline bills, etc., people used to stand in long queues. But now that those days are gone, certain websites and apps enable you to make all these payments with a click of the mouse. The best thing about these websites is that they can be utilized for the payment of most service providers in the country. You can pay all your bills on these websites, including electricity bills, water bills, DTH, post-paid bills, piped gas, WIFI bills, credit card bills, and even make prepaid recharges that include mobile recharges, FasTag, data cards, and others. So, nowadays, these recharge websites are in trend as well as easy to use and time-saving. Along with these benefits, it also provides the benefit of lucrative deals, offers, and cashback from time to time. So, we present you with the list of the top 10 recharge websites and apps in 2022.

· EaseMyDeal- You must be wondering why we have kept EaseMyDeal on top. Well, EaseMyDeal is an ISO Certified Platform that is made in India that assures safety and reliability to its customers. We must advocate for local businesses and support Indian start-ups. It has an easy-to-use app interface that has a multilingual support system. It is the best not only in terms of its services but also because it has the best customer support. All the queries or complaints are answered within 24 hours. It also offers 24/7 Premium Support via WhatsApp, phone, and email. It has a fast, secure, and safe payment system that never stores payment details with them and has all the payment options that also include Pay Later Options, EMI, and Multiple Reward Points. It provides instant refunds and the fastest complaint resolution. On top of that, the reason why it has gained so much publicity in a very short time is that it provides the best cashback and deals on all payments made on EaseMyDeal. It is so good that it has a very high Google rating of 4.9/5.

· Paytm- It is also known as Cashless Haven for Online Payers. Paytm is used by Indian people to transact daily, from a small grocery shop to a big mall or movie hall. Paytm is running everywhere now, from village small shops to urban big malls. Paytm is also the premium site for adding bill payment, mobile recharging, booking movie tickets, booking taxi and airline tickets, and a lot more. There is no end to Paytm services. Any service you think of is available on Paytm. It is one of the best platforms that runs on Windows, iPhones, Androids, etc.

· MyAirtel - MyAirtel Appis one of the bestapps for all online recharges, bill payments, BHIM UPI transactions, mobile banking, and much more. It allows its users to pick any prepaid or postpaid mobile plan that suits them best. The best thing about this app is that it provides the best offers and cashback on all recharges. It even provides OTT subscriptions at discounted rates as well.

· Freecharge: Freecharge is the most favored payment channel. Freecharge offers recharge for prepaid mobile phones, post-paid mobiles, DTH, and data cards. It offers online wallet features for all users. It allows its users on Android to send and receive money via WhatsApp too. Freecharge allows you to get cashback and shopping coupons for the same price that has been paid to get the recharge done. Those coupons include McDonald’s, Barista, Shoppers Stop, Café Coffee Day, Croma, Puma, etc.

· Dealmegood - Dealmegood is one of the best websites thatprovides DTH recharges andshopping vouchers at various discount rates. Those shopping vouchers include fashion, food, travel, entertainment, and others. It not only provides shopping vouchers but also provides mobile and DTH vouchers as well. It is the most useful website where you can buy vouchers at discounted rates and use them to gift any of your friends on their birthdays or anniversaries. And it is the best and most useful gift for anyone. To have a close look at what they offer and what the relevant prices are, you can visit DealMeGood.

· MobiKwik - Mobikwik is a quick way to make online recharges and payments. It is a mobile wallet as well as an online payment system to store money and make payments. It is an online platform for prepaid mobile recharges, utility bill payments, DTH recharges, or shopping at listed outlets. It also provides a door-stop service where they collect money from your house and add it to your MobiKwik Wallet. It is a semi-closed wallet that is authorized for use by the Reserve Bank of India. It is one of the top recharge Websites in India.

· Amazon Pay - Amazon is the one-stop solution for all your shopping needs. It provides online services for prepaid recharges, post-paid bill payments, gas, landline, mobile, electricity, and broadband bill payments. Not only do these services exist and what you can think of, but Amazon also has that service that includes grocery shopping, clothes shopping, luxury items, and phones. It has a closed wallet as well, so you can make instant payments anywhere in India. It even provides cashback on recharges as well.

· Phone Pe - Phone Pe is a normal app that can be easily downloaded from the Play store. Phone Pay is a normal app that can be used to pay money to someone. The money you transfer gets automatically deducted from your linked bank account, and the money you receive gets deposited into your linked bank account. It does not have any wallet facilities. It can normally be used to recharge your mobile, DTH, cable TV, FasTag, and all other bill payments. Apart from that, you can buy brand vouchers, magazine subscriptions, FasTag, and even make donations as well. So, all in all, it is one of the best apps for recharges and bill payments.

· Google Pay - Google Pay is an app that you can download from the Play store and use to pay someone money, recharge your phone, and pay your bills. The best thing about Google Pay is that the money you transfer gets directly withdrawn from your bank account and the money you receive gets directly deposited into your bank account. Google Pay does not have any wallet facility, or you can say there is no tension about maintaining a wallet. You can directly transact through your bank account with the help of Google Pay.

· PayZapp- PayZapp is an app offered by HDFC. PayZapp allows you to save money while shopping on your mobile device at partner apps, buy mobile phones, tickets, and groceries, compare and book flight tickets and hotels, and shop online. This app can be used to transfer money to anyone who is on your contact list. You can pay your bills, recharge your mobile, DTH, data card, and many more things. It is UPI powered and Visa and MasterCard supported. It is a multi-tasking app. You can use this app for different purposes.

[hgullapalli2000]

--Internationalisation of the Indian rupee--

If we achieve internationalisation of rupee it would be the biggest financial reform effort of Honorable PM Narendra Modi ji then it would be the most landmark reform in the history of independent India 🇮🇳 due to which Indian economy will emerge as the numer-uno economy 💱 in the world surpassing both USA 🇺🇸 and Chinese 🇨🇳 economy in nominal term by as early as 2030. 

US dollar is used as medium for settlement of international trade and as well as used as foreign exchange reserves that gives USA an extraordinary previledge to become the biggest consumption centre in the world with least unemployment rate in the history by printing dis-proportionate amount of dollars. It's a classic case of services and consumption driven economy- The model India has to follow rather than Chinese manufacturing led model. As India is a democratic country, it failed to push hard reforms required for manufacturing like land and Labour reforms, expenditure reforms etc to push infrastructure investment so there is a huge gap in manufacturing sector global competitiveness with China 🇨🇳 that is causing prolonged slump in manufacturing sector exports for almost a decade. Now with advanced communication technologies, India can become a service and innovation led economic 💱 powerhouse. To achieve this the most important pre-requisite is internationalisation of #Rupee. India 🇮🇳 has to take mantle of the global economy so as to power it through exponential rise of trade. Recently due to wrong policies of @federalreserve board resulted in excessive liquidity for certain period of time then severe liquidity contraction led to the fall of emerging market economies like Sri Lanka , Bangladesh 🇧🇩 etc. So GoI can utilise this opportunity to replace USD with #Rupee to control global liquidity by boosting global trade growth and prosperity. 

Due to latest digital payment technologies, digitisation of all trade transactions and rapidly rising India's share of the global trade our country can internationalise rupee far rapidly than we though before.  Previously, it use to take a decade to internationalise currency but because of UPI it would take few years.

With internationalisation of UPI or acceptance of UPI platform globally we can achieve internationalisation of #Rupee in an extremely swift manner replacing US SWIFT system globally with decentralised currency settlement system in #Rupee.

What will help GoI to internationalise #Rupee is:

1. Exponential rise in India's international trade .

2. Extensive service sector exports & #startupindia led innovations driving forex inflows.

3. High tech defence product exports that cements India's 🇮🇳 tech prowess to boost India's  engineering goods exports. India has to increase high-tech defence exports which will not only earn forex but also will create country's high-technology capabilites brand image, promote our engineering goods exports and strengthen #Rupee beyond imagination like USD.

If @RBI opts for swift internationalisation of #Rupee to facilitate international trade transactions  and eventually will go for implementation of full capital account convertibility as Indian economy is on the foothill of the greatest trade & economic growth never witnessed in the history of mankind.

For achieving the internationalisation of #Rupee, GoI should know one thing is that the country needs to achieve full capital account convertibility (FCAC) which is the most important pre-requisite.

Other important pre-requisites to achieve #rupee internationalisation:

1. Drastic reduction in the fiscal deficit which reduce current account deficit (Twin Deficit) led fall in #rupee value. 

2. Extensive fiscal-monetary co-ordination to reduce inflation.

3. Extensive core sector reforms like Electricity Amendment bill, Labour and Land acquisition reforms, banking and financial reforms, big privatisation efforts to boost global competitiveness of Indian 🇮🇳 manufacturing.

4. Very high and efficient public capex on highly productive and high impact infrastructure sector by reducing subsidies and drastically increasing tax/GDP ratio. 

5. No freebies like free electricity. 

6. Cutting popular subsidies like food and fertilizer. 

This GoI move of internationalisation of #Rupee many benefits will flow into the Indian 🇮🇳 economy so that it can hit multiple birds in one stone by allowing oil trade settlement in the local currency with Russia 🇷🇺 , Iran 🇮🇷 , Iraq 🇮🇶 etc so that the trade surplus money  should be allowed to invest in GoI treasury.

1. This will mobilize huge flood of foreign savings for investment in India in an orderly fashion.

2. Reduce downward pressure on #Rupee substantially. 

3. Reduce need for foreign exchange reserves due to settlement of trade in domestic currency. 

4. Allow hostile oil  exporting nations to USA 🇺🇸 can divert their forex reserves away from US dollar so that they can circumvent US sanctions. 

5. This move will reduce local bond yields which in turn can help GoI to spend extensive amount of money on infrastructure. 

Internationalisation of #Rupee will not only boost services and consumption led economy 💱  of India 🇮🇳 but also it will also turbocharge the global economy in high gear which will eventually end the world's dependence on US 🇺🇸 consumers and dollars  for growth. It will power global  trade eventually pulling 2 billion people out of poverty in the world 🗺 by 2030 becoming the biggest consumption centre in the world to emerge as #vishwaguru & propagate 'वसुधैव कुटुम्बकं:'.

--

Dr. Gullapalli H.S.

20/08/2022

( My blog site www.hgullapalli2000.tumblr.com and Twitter ID @GP4IND)

[baibhav]

Integrate Our UPI Collection API

Integrating the UPI Collection API by Rainet Technology Private Limited into your financial infrastructure offers a seamless and efficient way to manage digital transactions. The UPI API, or Unified Payments Interface API, is designed to facilitate instant payment processing, making it an indispensable tool for businesses seeking to enhance their financial operations. By leveraging the UPI Collection API, businesses can streamline their payment collection processes, reducing the time and effort required to manage transactions manually. This integration not only improves the speed of transactions but also enhances security, ensuring that all payments are processed through a secure and reliable platform.

The UPI Collection API integration process is straightforward, allowing businesses to quickly implement the technology without significant disruption to their existing systems. Rainet Technology Private Limited provides comprehensive support and documentation to guide businesses through each step of the integration process. This ensures that even businesses with limited technical expertise can successfully adopt the UPI Collection API and begin reaping its benefits almost immediately.

One of the key advantages of integrating the UPI Collection API is the ability to offer customers a convenient and flexible payment option. With the UPI API, customers can make payments directly from their bank accounts using their smartphones, eliminating the need for cash or card transactions. This not only enhances the customer experience but also reduces the risk of payment fraud and errors.

Moreover, the UPI Collection API integration can significantly boost operational efficiency. Automated transaction processing reduces the need for manual intervention, freeing up staff to focus on more strategic tasks. This leads to improved productivity and cost savings for the business. In summary, integrating the UPI Collection API by Rainet Technology Private Limited is a strategic move for any business looking to enhance its payment processing capabilities, improve security, and offer a superior customer experience.

Visit Website: https://rainet.co.in/upi-collection-api.php

[tserazov]

Konstantin Tserazov: “Armenia: FinTech Can Unlock the Truly Potential of Economy and Finance”

The key issue for foreign investors is the opportunity to invest capital and repatriate profits. The free flow of capital is equally important when individuals from various countries come to reside or work.

Armenia has proven itself to be a financially convenient country in which businesses and individuals can easily send and receive money. The development of FinTech in Armenia has made a significant impact, propelling the country to an international level as an attractive destination for tourists, migrants, and investors.

Deeper Integration with the West

The Armenian financial system's flexibility is clearly evident on its path towards deeper integration with the West. Remarkable news in this regard came on April 3, 2024: Ameriabank was sold to the Bank of Georgia Group PLC, a UK-based entity. The new key shareholder has investors such as BlackRock, the world's largest investment fund, and JPMorgan Chase, the number one U.S. bank in terms of asset valuation, backing it. Thus, Ameriabank gains access to the world of global finance via its investors. However, it's not just about attracting global investors; it's also about developing the local economy.

In May, this financial institution began offering online home loans aimed at the Armenian Diaspora abroad. Loans are available for local property purchases, renovations, or construction, regardless of the applicant's origin or location. Income from abroad is considered for loan applications, and permanent residency or registered income in Armenia is not required. Loans are available in local currency (Armenian Drams, AMD), U.S. dollars, or euros for terms of 5 to 30 years.

Digitalization and the application of FinTech have led to 98% of the bank's transactions being conducted online. FinTech ensures that all key aspects of loan operations are performed digitally.

Mergers and acquisitions (M&A) are on the rise in Armenia's banking sector. For instance, Ardshinbank recently struck a deal to take control over HSBC's Armenian branch.

..Not Only Towards the West

Armenia's pivot is not solely toward the West. The country maintains strong economic ties with other members of the Eurasian Economic Union (EAEU), as evidenced by the surge in money transfers within the EAEU during the first nine months of 2023, reaching $3.8 billion – a remarkable 31.3% annual growth. Notably, Russia fueled 71% of these transfers, demonstrating a significant 42% year-over-year increase.

In terms of diversification, the United Arab Emirates (UAE) became the top investor in Armenia's real sector in 2023, surpassing Russia for the first time, with a net investment of $250 million in foreign direct investment (FDI). However, the EAEU as a whole remains important, with total net FDI from EAEU countries reaching $305 million.

More Ways to Connect to Global Financial System

Armenian banks are considering linking their payment services to credit cards issued by foreign banks outside Armenia. Upon successful completion of a standard compliance procedure, clients can use their cards for these services.

Armenia’s banks use SWIFT for financial transactions. However, the country feels the enormous economic and financial potential of Asian countries and the Global South and reacts to it. 

Currently, we see how Armenia deepens ties with India. The arrival of the Indian payments system, Unified Payments Interface (UPI), in Armenia is anticipated. UPI provides a simple, phone-based payment system that uses phone numbers for account identification and instant transfers through QR codes. By directly linking to bank accounts, it simplifies transactions for smaller merchants, removing the necessity for additional hardware such as card readers.

UPI facilitates direct money transfers between accounts and leverages Google Pay in India for added convenience. This integration could enable seamless cross-border payments between India and other countries. The FinTech sectors of India and Armenia stand to benefit significantly, enhancing cooperation between the peoples of both countries.

Yerevan is diversifying beyond reliance on Mastercard, Visa, Google Pay, and Apple Pay by exploring new logistical routes for goods, including plans for a high-speed transport corridor that would bring large volumes of Indian goods to the EU market through Armenia. Additionally, China UnionPay has established a presence in the country's financial landscape. Both Acba Bank and Converse Bank have begun issuing China UnionPay cards.

Digitalization and the development of new digital routes for money transfers are crucial in this direction. Neighboring countries are aware of this significant trend. For instance, during his official state visit to Armenia on April 15, 2024, Kassym-Jomart Tokayev, the president of Kazakhstan, emphasized, “Our cooperation in new fields, such as digitalization and finance, also has a great future.”

The Situation in the Economy

Armenia recorded a GDP growth of 12.6% in 2022, with a high of +8.7% in the previous year. The forecast for 2023 is +5.7%, and eyes are on the growth rate for 2025. If Armenia experiences a rising growth tempo in 2025, it will indicate that the economy has successfully harnessed the value of rapid digitalization.

The Central Bank of Armenia identifies accelerating domestic demand, reducing debt, and increasing credit potential as key challenges. These factors may exacerbate excessive demand, potentially hindering the correction of the base inflation rate and inflation expectations. This situation suggests that a portion of internal demand can be externalized, and the burgeoning sector of money transfers in the current economic circumstances creates additional value when viewed from a macroeconomic perspective.

FinTech Development and Money Transfers Market

FinTech is a real driver of the Armenian economy, demonstrating an annualized growth rate of 20%. The country has several innovative hubs, and FinTech contributes over $1 billion in annual value. This rise has also received support from prominent international structures.

For example, the EBRD extends its loan program aimed at supporting the development of small and medium enterprises, which are crucial for the Armenian economy. In June 2024, the EBRD backed a $15.7 million loan to one of the technology centers in Armenia, to help them open a new hub promoting innovation and economic growth.

The FinTech payments market in Armenia is represented by players such as Idram and Mobidram, which have significantly developed their online services. HayPost has its own e-wallet app called 'HayPost Pay.'

Crypto exchange services are also prevalent in Armenia, especially in the capital. There are a few physical Bitcoin stores in the center of Yerevan where one can buy or sell the oldest cryptocurrency in the world, with some offices having a fixed commission fee of just $10.

In Armenia, the educational background of people working in the IT and FinTech spheres is often highlighted. Local FinTech and IT professionals with deep technical knowledge and a good understanding of modern FinTech are in high demand in the local labor market. European and American companies frequently hire local specialists to work in their EU and US offices. 

FinTech Can Potentially Boost the Local Stock Market

Currently, the Armenia Securities Exchange (AMX) is the primary venue for the local stock market. While the banking sector is well capitalized, with over $14.5 billion in total bank deposits, the stock market has a relatively low volume and influence. This underutilization of the stock market presents an opportunity for FinTech to energize its growth and, in turn, for the stock market to fuel local FinTech companies' expansion.

Currently, the local stock market has only about a dozen companies listed. This is a significant decrease from the mid-2010s when several hundred enterprises were listed on the AMX. Many businesses now seek financing through bank loans, private equity, or venture financing, leading to a smaller proportion of stocks in the securities market, which is primarily composed of debt-related securities.

The process for companies to go public (IPO) in Armenia is relatively straightforward. Several Armenian banks offer brokerage and underwriting services, and some of these banks allow users to buy or sell securities through their mobile banking apps. International brokers also provide access to the Armenian stock market.

Retail investors in Armenia have potential access to a diverse range of local companies, and if they choose to invest even a small portion of their bank holdings, the local stock market could experience a significant boost.

Armenia's top banks are increasing funding for local small and medium businesses (SMEs), which are crucial to the economy, employing 70 out of every 100 workers. Nevertheless, it is essential to develop SME financing through the issuance of shares and bonds on the local stock market.

The development of local currency (AMD) financing via the stock exchange will support the local currency and create a new equilibrium in the financial market. Currently, over half of corporate bank loans and one-eighth of retail loans are denominated in US dollars, contributing to a relatively high level of dollarization. If the development of financing via the local stock market creates additional demand and support for the AMD, it will positively impact the Armenian economy.