Prime Minister Narendra Modi Launches E-RUPI Digital Payment Solution

E-Rupi will allow for small-ticket person-specific and purpose-specific payments via digital vouchers.

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To ensure a leak-proof delivery of welfare services, the government today announced the launch of e-RUPI, an electronic voucher-based digital payment system.

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The 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. "e-RUPI voucher will play a major role in strengthening DBT scheme," said Prime Minister Narendra Modi, while launching the system. He added that e-RUPI will help in assuring targeted, transparent and leakage-free delivery for all and that it is person and purpose-specific.

PM Modi also said that e-RUPI vouchers can be used as an alternative to cash if any organization wants to help someone in their medical treatment or education or other things. "This voucher can be used for Covid-19 treatments. It is aimed to help the poor section of the society," he added.

E-Rupi will allow for small-ticket person-specific and purpose-specific payments via digital vouchers. These vouchers can be generated by the government or corporates via banking partners. The person-specific and purpose-specific payments system platform has been developed by the National Payments Corporation of India (NPCI), Department of Financial Services, Ministry of Health and Family Welfare and the National Health Authority.

"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," said an earlier statement by the Centre.

How It Will Work

It will basically be used for delivering services under schemes meant for providing drugs and nutritional support under Mother and Child welfare schemes, TB eradication programs, drugs & diagnostics under schemes like Ayushman Bharat Pradhan Mantri Jan Arogya Yojana, fertilizer subsidies, among others. The private sector can also leverage these digital vouchers as part of its employee welfare and corporate social responsibility programs.

First, a corporate or government agency will share the details of specific persons and the purpose for which payments have to be made with the partner banks, both private and public-sector lenders. Then the bank will identify the beneficiaries using their mobile number and allocate a voucher to the service provider in the name of a given person. The voucher will be delivered to that person only and can be used only once.