YES BANK, which is India’s 5th largest private sector bank, announced partnership for the roll out of first-of-its-kind payments system, Unified Payment Interface (UPI) launched by National Payments Corporation of India (NPCI). YES BANK is a part of selected group of Banks and Financial Institutions.
UPI is expected to be a ground breaking, next generation payment system which will allow secure, 1-click two-factor authentication, with its unique design and innovative API (Application Programming Interface) architecture. UPI enables Mobile Number, Aadhaar Number based payments and enable merchants as well as consumers to pull funds in a simple and secure manner.
There are about 200 million estimated smartphone owners in the country and this number is expected to reach 500 million in the next five years. UPI, with its simple user experience, will aid in the growth of mobile payments, thus accelerating the goal of reducing cash transactions in the country.
Ritesh Pai, Senior President and country Head of digital banking, YES BANK, said, “We are extremely bullish about UPI, and expect a revolution in the Indian payments ecosystem. UPI is expected to transform into a de-facto payments mechanism in the near future. UPI’s open API architecture allows banks to provide transactional payments services to even non-account holders.”
YES BANK has identified and worked on the following areas, and will be integrating these for providing UPI backed services in the next couple of months:
- Merchant Integrated In-App payments with one of the largest E-Commerce players in India.
- Replacement of Cash on Delivery (COD) with Digital Payment on Delivery.
- Cab Payments for Taxi Aggregator Apps.
- Broking/Insurance/Mutual Fund payments with the top players in respective segments.
- A partnership led model for granular merchant acquisition without the need for Physical POS(Point-of-Sale Terminal) or MPOS(Mobile Point of Sale Terminal).
- In-App P2P(Peer to Peer) funds transfer with one of India’s largest Payments company.
- Chat and Pay option with the Messenger Apps.
Over the past one year of successful on-ground implementation, YES BANK has undertaken millions of transactions in the above cases through its Digital platforms, and will now work to offer them through UPI backed services.