New Delhi: Amidst the rising popularity of digital transactions, the Unified Payments Interface (UPI) has witnessed a surge in usage. However, this growth has been accompanied by increasing instances of disruptions and downtime in the UPI network, causing significant inconvenience to users. In response to this issue, the National Payments Corporation of India (NPCI) has issued stringent directives to banks and payment service providers to enhance the stability and performance of the UPI system.
NPCI's New Guidelines
NPCI has released ten new guidelines related to UPI's APIs (Application Programming Interfaces), which all banks and payment service providers must implement by July 31st. APIs are the technical protocols that ensure secure data exchange between bank systems and the UPI network.
NPCI has mandated the regulation and controlled usage of UPI API calls. Particular attention must be paid to API calls such as 'checking transaction status,' as previous analyses have revealed that excessive numbers of these calls put undue pressure on the system, leading to downtime.
Indication of Strict Action
NPCI has clearly stated that failure to implement these guidelines may result in the suspension of the respective bank or service provider's UPI API access. Further penalties, including the suspension of new customer onboarding, may also be imposed. These measures are crucial for maintaining the reliability of the UPI network.
Previous Efforts and Future Plans
This new circular expands upon NPCI's directives issued last month, which focused on reducing response times for four key APIs and preventing misuse. Experts believe these measures will alleviate excessive pressure on the UPI network and provide users with a more stable and reliable service.
However, banks and UPI service providers will need to implement necessary upgrades to their technological systems to ensure uninterrupted digital payment experiences for users in the future.
As digital payments continue to grow rapidly, the reliability and stability of services like UPI become paramount. These new NPCI guidelines are expected to mitigate technical hurdles within the UPI network and provide customers with a smoother digital transaction experience.
