The RBI’s new move aims to promote small payment through mobile phones even in areas with internet connectivity or limited connectivity. UPI Lite is an easy version of a large -scale unified payment interface (UPI). It provides users to do transactions without the need for real time internet or telecom connectivity. It proves to be the most important in rural areas or during network downtime.
What is different in UPI light
In offline transactions, small payments can be easily done without the internet. Due to lack of real time alert, the UPI does not send the UPI light instant notification separate from the normal UPI transaction, which will not make your message inbox crowded. Quick and secure are, as there is no need for the additional factor (AFA) of authentication, which increases the process.
These changes have been made due to RBI revising UPI LITE Limit Limit: Per transaction limit has increased from Rs 500 to Rs 1000. At the same time, the total wallet limit has been increased by 2 thousand rupees to 5 thousand rupees. The objective of this initiative is to encourage the use of UPI lights for daily payment like purchasing grocery goods, payment for public transport or buying quick snacks.
The transaction can occur rapidly even if there is no need for authentication or real time internet. You can easily shop with a transaction of low rupee, where there is a shortage of time, it is very useful. Offline capacity ensures that users of poor connectivity areas can also participate in the digital economy.
