PM launch digital payment solution e-RUPI

• Prime minister will launch e-RUPI, a person and purpose-specific digital payment solution on 2nd August 2021.
• The e-RUPI initiative will be one of the programmes launched over the years to limit touchpoints between the government and the beneficiary.
• It will ensure that the benefits reach its intended beneficiaries in a targeted and leak-proof manner.

e-RUPI:

• e-RUPI is a cashless and contactless instrument for digital payment.
• It is a QR code or SMS string-based e-Voucher, which is delivered to the mobile of the beneficiaries.
• The users of this seamless one-time payment mechanism will be able to redeem the voucher without a card, digital payments app or internet banking access, at the service provider.
• It has been developed by National Payments Corporation of India on its UPI platform, in collaboration with the Department of Financial Services, Ministry of Health & Family Welfare and National Health Authority.

Working process:

• e-RUPI connects the sponsors of the services with the beneficiaries and service providers in a digital manner without any physical interface.
• It also ensures that the payment to the service provider is made only after the transaction is completed.
• Being pre-paid in nature, it assures timely payment to the service provider without the involvement of any intermediary.

Advantages:

• It will ensure a leak-proof delivery of welfare services.
• It can also be used for delivering services under schemes meant for providing drugs and nutritional support under Mother and Child welfare schemes, TB eradication programmes, drugs & diagnostics under schemes like Ayushman Bharat Pradhan Mantri Jan Arogya Yojana, fertilizer subsidies etc.
• The private sector can leverage these digital vouchers as part of their employee welfare and corporate social responsibility programmes.