RBI raises accounts limit of payment banks to Rs. 2 lakh

RBI has recently increased the maximum end of day balance for payment banks to Rs. 2 lakh from Rs. 1 lakh.

RBI governor Shaktikanta Das said, “With a view to furthering financial inclusion and to expand the ability of payments banks to cater to the growing needs of their customers, the current limit on maximum end of day balance of ₹1 lakh per individual customer is being increased to ₹2 lakh with immediate effect.”

Further, in an attempt to incentivise people to carry less cash and consequently perform more digital transactions, RBI has also proposed to allow the facility of cash withdrawal, for full-KYC PPIs of non-bank PPI issuers.