Vision 2001-03: Accomplishments - आरबीआई - Reserve Bank of India
Vision 2001-03: Accomplishments
3. Vision 2001-03: Accomplishments The Reserve Bank had earlier in December 2001 published its “Payment Systems – Vision Document” detailing its vision, goals, objectives and proposed measures relating to the payments systems in India for a three-year period. An evaluation of the results of the steps taken as per the broad directions contained in the Vision statement for the period 2001-04 reveal that most of the goal sets outlined have been met while a few are at various stages of implementation. Under the approach to computerisation and networking, with the definitive role of technology in facilitating large scale developments in payment and settlement systems, the main requirements of INFINET becoming the secure, dedicated communication backbone for the banking and financial sector namely, a generic architecture model for connectivity, standardisation of hardware, operating systems, systems software, application software and messaging middleware, prescribing a Common Minimum Requirement Level for hardware and networking requirements for payment gateways, secured connectivity between internet and INFINET, link between SWIFT and INFINET have all been achieved; facilities for e-mail, and secured file transfer are now available on INFINET; applications for ATM transactions, intra-bank transactions like remittances and foreign exchange transactions do use INFINET. The setting up of Credit Information Bureau of India Ltd. (CIBIL) facilitates the banking industry to carry out a credit check on credit card holders and thus, reduces the incidence of frauds and default by individuals. As regards the design, development and implementation of critical payment system projects, the following are the major accomplishments:
For the customer, there have been definitive benefits. Internet based banking which was one of the goals to be achieved has been implemented in 26 banks. The need for core banking solutions at banks which is at the base of many centralised initiatives such as Internet and mobile banking is also being implemented by banks and as many as 39 banks have implemented core banking solutions while 29 are at various stages of implementation. The delivery channels for customers have also improved with ATMs taking over a large number of cash related functions. Recognising the potential of this delivery channel, the Reserve Bank not only set the direction for banks to share ATMs but also helped the settlement process in the form of an ATM switch which has been set up and operated by the IDRBT, Hyderabad. Thus, card holders of any bank among the group can use their cards at the ATMs of any bank in the group. With regard to upgradation of processing environment, banks are undertaking BPR as a part of implementing core banking, security standards have been prescribed, PKI based Digital Signatures are used for security and legal protection. On the legal front, the Negotiable Instruments Act, 1881, has already been amended to enable cheque truncation and to define e-cheque. A Payment and Settlement Systems Bill has been drafted. Consequent upon Government of India Gazette Notification dated February 18, 2005 of the Reserve Bank of India (Board for Regulation and Supervision of Payment and Settlement Systems) Regulation, 2005 a Board for Payment and Settlement Systems has been constituted with effect from March 7, 2005. |