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Digital Payment Transactions – Streamlining India’s QR Code infrastructure

Summary:
RBI had formed a committee on Analysis of QR (Quick Response) Code which submitted its report in July. Taking the reccos forward, RBI has decided to streamline the QR infra in India: 2. After examining the recommendations and the feedback received, the following has been decided: The two interoperable QR codes in existence – UPI QR and Bharat QR – shall continue as at present. Payment System Operators (PSOs) that use proprietary QR codes shall shift to one or more interoperable QR codes; the process of migration shall be completed by March 31, 2022. No new proprietary QR codes shall henceforth be launched by any PSO for any payment transaction. RBI shall continue a consultative process to standardise and improve interoperable QR codes, to enable beneficial features identified by the

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RBI had formed a committee on Analysis of QR (Quick Response) Code which submitted its report in July.

Taking the reccos forward, RBI has decided to streamline the QR infra in India:

2. After examining the recommendations and the feedback received, the following has been decided:

    1. The two interoperable QR codes in existence – UPI QR and Bharat QR – shall continue as at present.
    2. Payment System Operators (PSOs) that use proprietary QR codes shall shift to one or more interoperable QR codes; the process of migration shall be completed by March 31, 2022.
    3. No new proprietary QR codes shall henceforth be launched by any PSO for any payment transaction.
    4. RBI shall continue a consultative process to standardise and improve interoperable QR codes, to enable beneficial features identified by the Phatak Committee.
    5. PSOs may take initiative to increase awareness about interoperable QR codes.

3. The above measures are expected to reinforce the acceptance infrastructure, provide better user convenience due to interoperability and enhance system efficiency.

Bharat QR is used for payment Person to Merchant whereas UPI is for both Person to Merchant and Person to Person. So we will just have these two QRs overtime. No other QR will be used for future payments.

Amol Agrawal
I am currently pursuing my PhD in economics. I have work-ex of nearly 10 years with most of those years spent figuring economic research in Mumbai’s financial sector.

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