Committee on Deepening of Digital Payments

With a view to encourage digitisation of payments and enhance financial inclusion through digitisation, the Reserve Bank of India has decided to constitute a High-Level Committee on Deepening of Digital Payments. The composition of the Committee is under the chairmanship of Shri Nandan Nilekani, Former Chairman- Unique Identification Authority of India.


The Terms of Reference of the Committee are, a: To review the existing status of digitisation of payments in the country, identify the current gaps in the ecosystem and suggest ways to bridge them; b: To assess the current levels of digital payments in financial inclusion.


c: To undertake cross country analyses with a view to identify best practices that can be adopted in our country to accelerate digitisation of the economy and financial inclusion through greater use of digital payments; d: Suggest measures to strengthen the safety and security of digital payments; e: To provide a road map for increasing customer confidence and trust while accessing financial services through digital modes.


f: To suggest a medium-term strategy for deepening of digital payments; g: Any other related item of importance. The Committee shall submit its report within a period of 90 days from the date of its first meeting.


Earlier, The Reserve Bank had released guidelines on tokenisation for debit / credit / prepaid card transactions as a part of its continuous endeavour to enhance the safety and security of the payment systems in the country. Tokenisation involves a process in which a unique token masks sensitive card details.


Thereafter, in lieu of actual card details, this token is used to perform card transactions in contactless mode at Point of Sale (POS) terminals, Quick Response (QR) code payments, etc.


These guidelines permit authorised card payment networks to offer card tokenisation services to any token requestor (third party app provider), subject to conditions enumerated in these guidelines. A card holder may avail of these services by registering the card on the token requestor’s app after giving explicit consent. No charges shall be recovered from the customer for availing this service.


All extant instructions of Reserve Bank on safety and security of card transactions, including mandate for Additional Factor of Authentication (AFA) / PIN entry shall be applicable for tokenised card transactions also.



  • Committee on Deepening of Digital Payments