RBI has coordinated the National Payments Corporation of India (NPCI) to not permit an extensive release of WhatsApp’s payment service in India.
Following the Israeli spyware Pegasus hacking occurrence, the Reserve Bank of India (RBI) has informed the Supreme Court that the messaging app WhatsApp is non-flexible with information localization standards.
The apex bank has coordinated the National Payments Corporation of India (NPCI) to not permit a full-scale release of the payments service in India by the Facebook-held firm.
NPCI oversees Unified Payments Interface (UPI), which recorded more than a billion transaction previous month. Google Pay and PhonePe considered as the pioneer players in the UPI next to Paytm and Amazon Pay.
WhatsApp Payments, which depends on UPI, has been in a beta stage almost a year. In 2017, the organization began testing the payments service in India through an invite-only model.
From that point forward, without the endorsement from the government, WhatsApp Pay is restricted to around one million users. However, it is yet to release the payments service in India formally.
The improvement comes as the Supreme Court had a short while ago requested that RBI update it on WhatsApp’s data localization situation in August.
“The RBI has analyzed the said reports (by NPCI) and the reactions of NPCI and is of the examined perspective that WhatsApp is putting away the accompanying payment data components outside India over the allowed deadlines demonstrated in the round and frequently asked questions (FAQs) on capacity of payments framework data gave by RBI on June 26, 2019,” said RBI, as cited by Times of India.
Further, NPCI has been prompted by RBI not to allow WhatsApp to go live for full-scale activities on UPI payments framework until the time it is entirely agreeable, it included.
As indicated by RBI, WhatsApp payments service is putting away diverse payment information outside India, including transaction ID, recovery reference numbers, and expiry of collect request, among other information components.
WhatsApp has over 1.5 billion users all-inclusive, of which India represents around 400 million users alone.