Prime Minister Narendra Modi will launch 'e-RUPI', a person and purpose-specific digital payment solution, on the 2nd of August 2021 at 4:30 PM via video conferencing. Maintaining that the prime minister has always championed digital initiatives, this launch is directed towards ensuring that the benefits reach its intended recipients in a targeted and leak-proof manner, with barely any touchpoints between the government and the beneficiary. This concept of an electronic e-voucher takes forward this vision of good governance, as stated by the Prime Minister's Office (PMO).
What is e-RUPI?
It is a QR-code or SMS string-based e-Voucher delivered to the mobile phones of the recipients of welfare services offered by the government. The users of this one-time payment mechanism will redeem the voucher without a card, digital payment apps or internet banking access at the service provider.
According to the report released by PMO, the digital payment solution is designed and programmed under the National Payments Corporation of India on its UPI platform. This has been done in partnership with the Department of Financial Services, Ministry of Health & Family Welfare and National Health Authority. While connecting the recipients' sponsors with the service provider, e-RUPI makes certain that remittance to the service provider is completed only after the transaction is made. It does not require the involvement of any intermediary to assure timely payment to the service provider due to its prepaid nature.
Who Is Going To Benefit?
As mentioned in the official report from the PMO, the digital payment solution will benefit everyone who receives various government welfare services. According to the press release, it would be beneficial for assisting individuals "under schemes meant for providing drugs and nutritional support under Mother and Child welfare schemes, TB eradication programmes, drugs and diagnostics under schemes like Ayushman Bharat Pradhan Mantri Jan Arogya Yojana, fertilizer subsidies, etc."
It also added that even the private sector could leverage these digital e-vouchers to provide employee welfare and corporate social responsibility programmes.