The full form of NPCI is the National Payments Corporation of India. It is an organization set up by the Reserve Bank of India (RBI) and Indian Banks’ Association (IBA) with the aim of creating a robust Payment and Settlement Infrastructure in India. NPCI was established in 2008 as a not-for-profit organization.
The primary objective of NPCI is to ensure that all electronic payment systems in India are inter-operable, efficient, secure, and accessible to all sections of society, including the unbanked and under-banked. NPCI operates a variety of payment systems, including the Immediate Payment Service (IMPS), the National Electronic Funds Transfer (NEFT) system, and the Real-Time Gross Settlement (RTGS) system.
NPCI also manages and operates the RuPay card payment network, which is India’s domestic card payment network. RuPay enables electronic payments at Point of Sale (POS) terminals, online merchants, and for transactions at Automated Teller Machines (ATMs).
In addition to these payment systems, NPCI also operates the Bharat Interface for Money (BHIM) app, which is a mobile app that enables users to make digital payments using a virtual payment address. NPCI also manages the Unified Payments Interface (UPI), which is an instant real-time payment system that facilitates inter-bank transactions.
NPCI’s efforts have played a significant role in increasing the number of digital transactions in India and promoting financial inclusion. NPCI continues to work towards creating a cashless society in India and making digital payments more accessible to everyone.