RBI guidelines on 'on tap' Authorisation on Payment Systems

October 15, 2019
Current context: RBI has issued guidelines on ‘on tap' authorisation of payment systems on 15th October 2019.
RBI guidelines on 'on tap' Authorisation on Payment Systems 
  • The aim is to encourage innovation and competition.
  • RBI has decided to offer on-tap authorisation for:
    1. Bharat Bill Payment Operating Unit (BBPOU) - Entities who are desirous to operate or provide platforms for BBPOU, should have a 100 crore rupees net worth and should be maintained at all times.
    2. Trade Receivables Discounting System (TReDS) - the minimum paid up equity capital should be 25 crore rupees.
    3. White Label ATMs (WLAs) - The minimum net worth for entities should be 100 crore rupees.
  • The authorisation is given based on:
    1. Merits of the proposal
    2. Reserve Bank’s assessment of the potential for additional entities in that segment.

Question: 

Q.1 The RBI has set the minimum paid up equity capital of _______, for Entities who are desirous to operate or provide platforms for Trade Receivables Discounting System (TReDS)? 
a. Rs 100 Crore
b. Rs 25 crore
c. Rs 50 Crore
d. Rs 150 Crore

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