Reliance will form digital payment system with Facebook and Google
Reliance Industries Limited has partnered with Google and Facebook to to establish the New Umbrella Entity (NUE). The company has taken this step to participate in the digital payment market and will also be able to create networks such as United Payment Interface (UPI). New Umbrella Entity (new) will give a direct competition to National Payment Corporation of India.
Here the biggest question arises as to why the Reserve Bank of India has required a NUI despite NCPI. NUE will be jointly promoted by So Hum India, a subsidiary of Reliance and Infibeam Avenues Limited.
New Umbrella Entity (NUI) will have six parts :
- The Reserve Bank of India has released its Guideline on NUI and it is divided into six parts. Out of which the retail store, ATM, POS and Aadhaar based payment within the first part etc have to be managed.
- In the second part, both Bank and Non-Bank will be included which will be for all types of payment settlement. Along with this, the management of any type of fraud etc will be done in it.
- The third part will work on payment security and payment validity. In this part, work will be done on Fairness, Equity and Competitiveness and along with this the necessary rules will be formulated and implemented.
- All business related payments will be in the fourth part and along with this, the safety of the customers will also be taken care of.
- In the fifth part, will talk about the payment system operated by NPCI. Along with this Any kind of problem will be consulted related to the payment system.
- All the work related to the bank account will be in the sixth part.
These consortiums of companies are in the race for NUI
1. Reliance Industries, Infibeam Avenues, Google and Facebook
2. Amazon, ICICI Bank, Axis Bank, Pine Labs, Billdesk and Visa Card
3. Tata Group, HDFC Bank, Kotak Mahindra Bank, MastCard, Bharti, PayU
4. Paytm, IndusInd Bank, Ola Financial, Centrum Finance, JetPay and EPS