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What is e-RUPI?

e-RUPI: Voucher Based Digital Payment System:

The Indian government is going to launch an electronic voucher based digital payment system e-RUPI.

  • There are already many countries using the voucher system for example the US, Colombia, Chile, Sweden, Hong Kong, etc.


  • It is a cashless and contactless method for digital payment.
  • It is a Quick Response (QR) code or SMS string-based e-voucher, which is delivered to the mobile of the users.
  • The users will be able to redeem the voucher without needing a card, digital payments app, or internet banking access, at the service provider.
  • It connects the sponsors of the services with the beneficiaries and service providers in a digital mode without any physical interface.
  • The mechanism also ensures that the payment to the service provider is made only after the transaction is completed.
  • The system is pre-paid in nature and hence, assures timely payment to the service provider without the involvement of any intermediary.
  • In effect, e-RUPI is still backed by the existing Indian rupee as the underlying asset and specificity of its purpose makes it different to a virtual currency and puts it closer to a voucher-based payment system.