MUMBAI, Dec 4: On Wednesday, the Reserve Bank announced an increase in the UPI Lite wallet limit to Rs 5,000, along with a per-transaction limit raised to Rs 1,000. This move aims to promote broader use of the widely adopted instant payment system via mobile devices.
UPI Lite transactions function offline, meaning they do not require Additional Factor of Authentication (AFA) and do not send real-time transaction alerts.
Presently, the maximum limit for offline payment transactions stands at Rs 500, with an aggregate limit of Rs 2,000 for offline transactions at any given moment.
The Reserve Bank has revised the ‘offline framework’ introduced in January 2022 to facilitate small-value digital payments in offline settings.
According to a Reserve Bank circular, “…the new UPI Lite limits will be set at Rs 1,000 per transaction, with a total cap of Rs 5,000 at any time.”
This announcement was made by the central bank in October of this year.
An offline payment refers to transactions that can be completed without the need for internet or telecom connectivity. (Agencies)
