e-RUPI and the Financial World
e-RUPI, a game-changer technology-driven payment method introduced by
the Government of India (GOI) for the rural populace is said to
benefit the target audience in abundance. It is an SMS/e-voucher based
one-time payment method where individuals can avail government
benefits/schemes without the need for a bank account. While it will
help and enable the rural population in multiple ways, the benefits to
the financial world is another interesting aspect of e-RUPI introduction.
Benefits to the financial world
- With India’s rural populace touching 65.07%, e-RUPI will enable
finance-based organizations to penetrate rural areas that were
- Making use of its unique feature of “digital sender to the offline
receiver”, banks can also cater to areas with limited to no internet connections.
- Banks can make use of the transparency aspect of e-RUPI and can
choose specific needs they want to cater to.
- Since e-RUPI is government enabled, the risks on banks decrease
and further gives them a sense of safety while transacting with the
- With the implementation of e-RUPI, intervention of multiple
digital partners can be circumvented.
While the first phase of e-RUPI specifically benefits masses to avail
Covid-19 vaccines, it aims at catering to 190 million unbanked
citizens of India. Furthermore, it also aims at providing equal
benefits and opportunities across sectors. Like any other service,
e-RUPI has its own set of risks involved yet, it is considered as the
next big step towards an advanced and digital India.