WhatsApp Seeks Nod from RBI for Expanding Payments Services to 200 Million Users in India

WhatsApp Chief has written to the Reserve Bank of India (RBI), seeking a formal nod to expand payments services to all its 200 million users in India. The messaging app, which has drawn fire from the government over spread of fake messages on its platform, continues to wait for a regulatory clearance to launch full-fledged payments operations in India – months after its ‘testing’ amassed nearly one million users, and almost two years since it first began discussions with the government on its payments services plans.

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The development comes at a time when competitors such as Google have forged ahead with their payments offerings. WhatsApp is currently piloting WhatsApp payments, and its Chief Chris Daniels has now written to the RBI urging that a formal approval be granted to take the payments product to all its users in the country.

“I write to request your formal approval to immediately expand WhatsApp’s BHIM UPI (Unified Payments Interface) compliant payments product to all users in India, giving us the opportunity to offer a useful and secure service that can improve the lives of Indian people through digital empowerment and financial inclusion,” Daniels said in the letter addressed to the RBI Governor.

The letter, dated November 5, mentions that WhatsApp’s partner banks have also submitted a request for formal approval. When contacted, a WhatsApp spokesperson said the platform is working closely with the Indian government, National Payments Corporation of India (NPCI), and multiple banks, including payment service providers to expand the feature to more people and support the country’s digital economy.

“Today, almost 1 million people are testing WhatsApp payments in India. The feedback has been very positive, and people enjoy the convenience of sending money as simply and securely as sending messages,” the company’s spokesperson said, responding to a specific email query on the recent plea to the RBI.

In the letter, WhatsApp noted that the platform had rushed to ensure that the payments data is stored in India, immediately after the RBI came out with a directive outlining the new payments data storage requirements in April this year. “Today, (the) RBI has unfettered supervisory access to payments data as prescribed by the RBI circular,” said the letter.

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10 Comments on "WhatsApp Seeks Nod from RBI for Expanding Payments Services to 200 Million Users in India"

 

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Prithvi
December 2, 2018 9:29 pm 9:29 PM

Privacy breach .. !!?

Akash
December 3, 2018 8:27 am 8:27 AM

Everyone has online privacy concerns. But I have never seen person with privacy paranoia as you. So I guess that you must be using iPhone/ blackberry with duckduck go as search engine and other non Google services.

dragonmonk
December 4, 2018 5:55 pm 5:55 PM

@akash That sounds pretty reasonable — using iOS and non-google services. Anybody who knows to preserve privacy does exactly that. At least he’ll have the last laugh while your life/data is owned by the advertising giants.

Terve
December 3, 2018 2:49 pm 2:49 PM
I’ve read some of his comments and from what I could gather was that he doesn’t care about privacy much but rather has an hatred for Facebook and all services owned by it, which to be fair isn’t unreasonably but he’s attacked WhatsApp messaging in the past and I’ve corrected him by saying that it’s the most private (except for signal) messaging service. Although yes questioning this payments service is fair, but then again other services should be questioned as well. Also Android with a custom ROM without Google services is much more secure and private as compared to any… Read more »
tri_vis
December 3, 2018 6:24 pm 6:24 PM

Bro.
You mean to say, that using banking apps on custom ROM is safer then non rooted, original FW from mobile company??

Terve
December 3, 2018 9:51 pm 9:51 PM

Yes it is, if you know what you’re doing. Moreover this discussion is about privacy and not security.

dragonmonk
December 4, 2018 5:53 pm 5:53 PM

@terve There is no privacy without a secure underlying mobile OS/platform. You cannot live peacefully among a locality of dacoits.

Terve
December 3, 2018 9:50 pm 9:50 PM

Yes it is, if you know what you’re doing.

ashish
December 3, 2018 6:46 am 6:46 AM

okay so what google pay, paytm is doing? You dont have any issues with them?

dragonmonk
December 4, 2018 5:56 pm 5:56 PM

@ashish All three are crooks when it comes to data mining.

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