Light Weight Portable Payment System: Work is being done by the Reserve Bank of India (RBI) to develop a light weight and portable payment system.
This payment system can be operated for important transactions during natural calamities and war-like situations. According to RBI, the proposed Light Weight and Portable Payment System (LPSS) will be independent of traditional technology. Some special employees will be able to operate this system anywhere.
Existing payment systems work on IT infrastructure
The existing payment systems such as RTGS, NEFT and UPI currently running for payment transactions have been designed to handle large amounts of payments. These payment systems work on advanced IT infrastructure. It was told by the RBI that these payment systems can be made available temporarily by disrupting the underlying information and communication infrastructure in the event of a natural disaster and war.
Employees will be able to operate from anywhere, in order to face any kind of situation, there is a need to prepare such a system which can be used in any condition. Keeping this objective in mind, RBI has planned LPSS, which will be independent of traditional technology and can be operated from anywhere by a small number of employees.
RBI said, ‘It is expected to work on minimum hardware and software. It will be activated when needed. It will be useful for completing such transactions which are important for ensuring the stability of the economy like government and market related transactions.