38.6c New Delhi, India, Saturday, December 10, 2022
Top Stories
Interviews Know The Law Book Reviews Videos
About Us Contact Us
Executive

RTGS system for real time fund transfer to become available 24x7 from December 2020: RBI

By Jishu      Oct 10, 2020      0 Comments      1,516 Views
RTGS system for real time fund transfer to become available 24x7 from December 2020: RBI

Reserve Bank of India (RBI) governor Shaktikanta Das on Friday (October 9,2020) said that online transfer of funds via Real Time Gross Settlement (RTGS) will be available round-the-clock from December 2020.

The step is being taken to "facilitate innovations in the large value payments ecosystem and promote ease of doing business".

“In order to facilitate swift and seamless payments in real time for domestic businesses and institutions, it has been decided to make available the RTGS system round the clock, on all days from December 2020. India will be among very few countries globally with a 24x7x365 large value real time payment system," Das said in a virtual briefing.

RTGS enables real time transfer of funds to the beneficiary account. According to the central bank, "real time" means the processing of instructions at the time they are received and "gross settlement" implies that settlement of funds transfer instructions occurs individually.

Currently, RTGS is available on all days when most bank branches are functioning, including Saturdays. It is primarily meant for large value transactions. Minimum amount to be remitted through RTGS is Rs200,000, with no upper or maximum ceiling.

Last year, the central bank had allowed transfer of funds via National Electronic Funds Transfer (NEFT) system on a 24x7x365 basis from December. 2019. “The system has been operating smoothly since then," Das said.



Tags:
Reserve Bank of India
Share this article:



Leave a feedback about this




Related Posts
View All

TRENDING NEWS


TOP STORIES


ADVERTISEMENT


Lawstreet Advertisement

Signup for Our Newsletter

Get Exclusive access to members only content by email