The Reserve Bank of India (RBI) has formed a six-member Payments Regulatory Board (PRB) to strengthen oversight and governance of payment systems across the country. Chaired by the RBI Governor, this new board aims to ensure a robust, secure, and efficient digital payments ecosystem.

Key Points:

• Formation of the Payments Regulatory Board: The RBI has officially established a dedicated six-member Payments Regulatory Board to regulate and supervise payment systems in India.
• Leadership and Structure: The board will be chaired by the RBI Governor and supported by the central bank’s Department of Payment and Settlement Systems, which will directly report to the PRB.
• Objective: The PRB is intended to improve governance, enhance regulatory oversight, and support the rapid growth and innovation in India’s digital payments sector.
• Industry Reactions: While the move is aimed at strengthening regulation, some industry experts have expressed concerns about potential overlaps in authority between the PRB and the RBI, which could create regulatory challenges.