With the recent suspensions of operations of Visa and Mastercard, the international card companies, have raised doubts on the dependence on these card companies. Experts believe that the Indian payment system may survive on the back of RuPay and the Unified Payments Interface (UPI) without any involvement of international brands in India. Last year in major supervisory action, the Reserve Bank of India has barred the US-based Mastercard from issuing a new credit card, debit card, and prepaid cards for an indefinite period as it could not comply with data storage norms.
The government is encouraging the banks to focus more on RuPay cards and offer them to customers as the first option. RuPay is a leading card company with the largest 60 percent share in debit cards. It is working on increasing its credit business.
Experts believe that with the recent suspension of Mastercard and Visa in India, the Indian payment system may survive on its domestic card RuPay and the Unified Payments Interface (UPI).
