National Payments Corporation of India (NPCI) launched the Bharat Bill Payments System (BBPS) pilot project with 26 Bharat Bill Payment Unites. BBPS is the Reserve Bank mandated system which provide interoperable bill payment services to customers.
Key highlights of Bharat Bill Payments System (BBPS) :
In the first phase, BBPS will cover repetitive payments for everyday utility services such as electricity, water, gas, telephone and direct-to-home (DTH).
Bharat Bill Payments System (BBPS) would link all major billers in the country with all their consumers which will simplify bill payments electronically.
At present, volume of bills paid by cash is so large that even if 25 percent of the bills get paid in electronic mode, the impact would be visibly enormous.
Some of the banking entities participating in the pilot project include —
- AP Mahesh Co operative Urban Bank
- Axis Bank
- Gopinath Patil Parsik Janata Sahakari Bank
- HDFC Bank
- ICICI Bank
- IDBI Bank.
Besides, there are Indian Bank, IndusInd Bank, Kotak Mahindra Bank, Punjab & Maharashtra Co operative Bank, Punjab National Bank, RBL Bank and State Bank of India.
Avenues India, Common Service Centre, Euronet Services, IndiaIdeas.com(Billdesk), ITZ Cash Card Ltd, One97 Communications Ltd (Paytm), Oxigen Services India Pvt. Ltd, PayU Payments Pvt. Ltd, Spice Digital Ltd and TechProcess Payment Services Ltd are the non-banking entities which are part of the pilot project.
What is Bharat Bill Payments System ?
BBPS is an integrated platform connecting banks and non-bank entities in bill aggregation business like billers, payment service providers and retail bill outlets.
As on date, 62 entities have received in-principle approval from RBI to function as Operating Units (OU), out of which 52 are banking and 10 are non-banking entities.
What is National Payments Corporation of India (NPCI) ?
National Payments Corporation of India (NPCI) is an umbrella organization for all retail payments system in India.
NPCI functions as the authorised Bharat Bill Payment Central Unit (BBPCU) which will undertake clearing and settlement activities related to transactions routed through BBPS.