RBI to set new QR code rules to change payment picture of India

The Reserve Bank of India recently ordered payment system operators (PSO) from launching new proprietor QR code for transactions. The apex Bank asked the PSOs switch to at least 1 interoperable QR code. This is to to use the same QR code across multiple payment applications.

This is being done by the Reserve Bank of India to improve digital payment infrastructure in the country.

What are QR codes?

They are two dimensional machine-readable barcodes. Their usage is is increasing day by day to facilitate mobile payments at point of sale. The QR codes can store large amount of data. It was invented by the the Japanese company called Denso Wave in 1990s.


The QR code accept payment only from the mobile application of its deployer. This is against the interoperability agreement signed between banks governing unified payment interface ecosystem and third party payment application.

About QR codes

These codes often contain details about the identifier track or locator that points to a application or website. QR is quick response. It consists of black square that are arranged in a square grid on a white background stock it can be read using imaging devices such as camera.

QR codes in India

In September 2016, RBI launched Bharat QR. Bharat QR was developed by National payment Corporation of India along with American Express, MasterCard, Visa Card. The Bharat QR had the capability of accepting payments on unified payments interface platform.

Bharat QR

The money transferred through Bharat QR goes into the user’s bank account directly. It acts as a common interface between MasterCard, rupay, American Express and Visa unlike other systems. It is interoperable with all the banks. It is supported by both IOS and Android devices.


The National Payment Corporation of India operates retail payments and settlement systems in the country.


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