RBI allows UPI payments at CDMs for cash deposits, says Guv Shaktikanta Das

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Shaktikanta Das on Friday proposed to permit 3rd party UPI apps to make payments and cash deposits at Cash Deposit Machines (CDMs) using UPI (Unified Payments Interface). Addressing the RBI MPC meet 2024 today, Das said, “Deposit of cash through CDMs is primarily being done through debit cards. Given the experience gained from cardless cash withdrawal through the UPI at the ATMs, it is now proposed to facilitate the deposit of cash in CDMs using UPI." “This will enhance customer convenience, and make the currency-handling process at banks more efficient," the RBI Governor added.

Also Read | Live updates on RBI MPC meet 2024 The central bank also maintained the real GDP growth forecast for the current fiscal year at 7%. The GDP growth target for Q1 FY25 was adjusted to 7.1% from the previous 7.2%, while for Q2 FY25, it was revised to 6.9%, up from the previous forecast of 6.8%. The growth rate for Q3 FY24 remains unchanged at 7% from previous forecasts.

In the final quarter of the fiscal year, the RBI revised the growth rate to 7% from the previous 6.9%. In the quarter ending December 2023, India's GDP growth rate reached 8.4%, significantly surpassing the RBI's projections. This reaffirms India's position as the fastest-growing major economy globally.

According to NSO's second advanced estimate, India is projected to grow by 7.6% in FY24, an increase from 7.3% in FY23. The RBI also maintained its benchmark interest rate (repo rate) at 6.5% following a three-day meeting. This marks the seventh consecutive occasion where the RBI has opted to keep rates stable.