Prime Minister Narendra Modi on Monday launches e-RUPI, a person and purpose-specific digital payment solution via video conferencing. “Digital technology is transforming lives in a major way and is furthering ‘Ease of Living.’ At 4:30 PM tomorrow, 2nd August, will launch e-RUPI, a futuristic digital payment solution which offers several benefits for its users,” Modi said in a tweet on Sunday.
PM also said that among the benefits of e-RUPI are cashless and contactless digital payment, connecting service sponsors and beneficiaries digitally and ensuring leak-proof delivery of several welfare services.
According to a statement issued by the Prime Minister’s Office (PMO) on Saturday, e-RUPI is a cashless and contactless instrument for digital payment which has been developed by the National Payments Corporation of India in collaboration with the department of financial services, the Union ministry of health and family welfare and the National Health Authority.
It is a QR code or SMS string-based e-Voucher, which is delivered to the mobile phones of beneficiaries. Users of e-RUPI will be able to redeem the voucher without a card, digital payments app or internet banking access, at the service provider.
Under this new payment system, the beneficiaries will get an electronic voucher or coupon that can be used without online banking, payment applications and other traditional payment modes. In a simpler language, e-RUPI, the new digital payment mode, is a QR code or SMS string-based e-voucher. The digital coupons, similar to Sodexo vouchers, have been developed by the National Payments Corporation of India in collaboration with the department of financial services, ministry of health and family welfare and national health authority.
“e-RUPI, in a way, is Person as well as Purpose Specific. For the purpose for which any help or any benefit is being given, it will be used for that, this eRUPI is going to ensure,” PM Modi said while introducing the new digital payment mode. The government will send the voucher directly to the mobile number of the beneficiaries, instead of putting the cash in bank accounts. The mobile number and identity of the citizen will be verified first before sending the e-RUPI coupons. “e-RUPI connects the sponsors of the services with the beneficiaries and service providers in a digital manner without any physical interface,” the Prime Minsiter’s Office said in a notification.