Daily Brief

Fintech Brief — August 03, 2026 RBI Overhauls Deposit Interest Rate Framework; New Norms From October 1 The Reserve Bank of India has issued the (Commercial Banks — Interest Rate on Deposits) Second Amendment Directions, 2026, significantly revising how banks price fixed deposits. The new rules take effect October 1, 2026. Key changes: Uniform rates across all branches: Banks can no longer offer different rates for the same deposit product at different branches. All customers depositing the same amount on the same date get the same rate, regardless of branch location. Differential pricing on bulk deposits allowed: Banks can now offer varying rates on bulk deposits based on liquidity risk under the LCR (Liquidity Coverage Ratio) framework — a nod to the fact that large deposits behave differently during stress. Mandatory daily disclosure: Bulk deposit rates must be published on bank websites by 10:00 AM every business day (10:10 AM max grace period). No more opacity on what banks pay for wholesale funding. Applies to all bank categories: Commercial banks, small finance banks, regional rural banks, payment banks, local area banks, and urban cooperative banks all fall under the framework. The RBI explicitly stated these changes do not prescribe any increase or reduction in FD rates — that remains market-driven. But the transparency mandate means depositors can finally compare what their bank offers versus peers in real time. ...

Fintech Brief — August 02, 2026 RBI’s Forex Swap Measures Pull In $40.82 Billion in Under Two Months The Reserve Bank of India’s June package of foreign exchange measures — concessional hedging facilities, swap arrangements, and incentives for foreign currency non-resident (FCNR(B)) deposits — has attracted $40.82 billion in capital inflows as of July 31, according to data released by the RBI on Saturday. FCNR(B) deposits alone accounted for $36.72 billion of the total, already surpassing the $26 billion mobilised under a similar scheme in 2013 — achieved in less than two months. The remainder came from banks’ overseas fundraising and external commercial borrowings by Indian firms. ...

Fintech Brief — August 01, 2026 Maldives Favara-UPI Link Goes Live — Real-Time Cross-Border Transfers Now Operational The Maldives Monetary Authority (MMA) and NPCI International Payments Limited (NIPL) have successfully integrated the Maldives’ instant payment system, Favara, with India’s UPI. The service went live on July 30, enabling individuals in the Maldives to send money in real time to UPI-enabled bank accounts in India using their mobile banking apps. Two banks — Bank of Maldives and Maldives Islamic Bank — are participating in the initial rollout, with transactions supporting Maldives Rufiyaa to Indian Rupees conversion. The corridor opens avenues for remittances related to family maintenance and gifts, deepening bilateral digital financial connectivity. ...

Fintech Brief — July 31, 2026 RBI Frees Up Bulk Deposit Pricing, Mandates Uniform Disclosure The RBI issued the Commercial Banks — Interest Rate on Deposits — Second Amendment Directions, 2026 on July 30, giving banks greater flexibility to price rupee bulk deposits based on Liquidity Coverage Ratio (LCR) run-off characteristics. Banks can now offer differential rates on bulk deposits tied to their liquidity profile — a meaningful carve-out from the otherwise strict uniformity requirement. ...

Fintech Brief — July 30, 2026 Delhi High Court Orders Winding Up of Paytm Payments Bank The Delhi High Court has ordered the winding up of Paytm Payments Bank Limited (PPBL), formalising the end of one of India’s most prominent payments banks. Through orders dated July 8 and July 22, 2026, the court directed liquidation under the Banking Regulation Act, 1949, read with the Companies Act, 2013. The RBI, which had cancelled PPBL’s banking licence in April 2026 citing persistent non-compliance with regulatory norms, confirmed the development on July 29. Former SBI Chief General Manager Girikumar M. Nair has been appointed Official Liquidator, assuming all powers previously held by PPBL’s board from July 8 onwards. The liquidator is tasked with managing asset recovery, settling claims, and ensuring compliance throughout the winding-up process. 1 ...

Fintech Brief — July 29, 2026 Today’s Top Stories RBI Launches ‘Finquiry’ — Structured Fintech Engagement on July 31 The Reserve Bank of India has invited fintech companies to a structured interaction event called ‘Finquiry’, scheduled for July 31, 2026, from 3 PM to 5 PM in Mumbai. Registration closes today at 6 PM. The event is expected to cover tokenization, regulatory compliance frameworks, and broader fintech-banking integration topics. This signals RBI’s continued push toward proactive engagement with the fintech ecosystem rather than purely top-down regulation. ...

Fintech Brief — July 28, 2026 RBI’s Dollar-Inflow Schemes Draw $32 Billion, Strengthen BoP RBI Governor Sanjay Malhotra revealed in an interview with The Hindu Businessline that the central bank’s June-announced dollar-mobilisation measures have attracted nearly $32 billion in inflows. The bulk came via the Foreign Currency Non-Resident (FCNR(B)) deposit scheme, with an additional $7 billion entering government securities through debt FPIs following tax changes. Malhotra noted that the rupee is “not undervalued” at current levels and the 5.25% repo rate remains appropriate. Critically, he acknowledged that the dollar inflows haven’t fully translated into rupee liquidity — partly because rising government cash balances are absorbing the domestic currency side. With the August 3-5 MPC meeting approaching, 95% of economists in a Reuters poll expect rates to remain on hold through 2026, citing Middle East war risks to growth. ...

Fintech Brief — July 27, 2026 UPI Hits All-Time High of 19.47 Billion Transactions in July; NPCI Tightens Balance Check Limits UPI processed a record 19.47 billion transactions in July, valued at ₹25.08 lakh crore, according to NPCI data. Volume was up 4.2% from June’s 18.39 billion, while value grew 21% year-on-year. The previous volume record was 18.67 billion set in May. PhonePe maintained its dominant 48.38% market share by volume, with Google Pay at ~37%. The top three apps now process 93% of all UPI transactions, per Business Standard. ...

Fintech Brief — July 26, 2026 Today’s Top Stories WhatsApp Pay Surpasses CRED in UPI Transaction Volumes WhatsApp Pay has overtaken CRED in UPI transaction volumes, marking a significant shift in India’s third-party application (TPA) pecking order. According to NPCI data for June 2026, Meta’s messaging super-app leveraged its 600-million-plus user base in India to clock higher UPI volumes than the fintech darling built specifically around payments and credit card rewards. The development underscores a persistent pattern in Indian digital payments: distribution advantages built on non-financial platforms can outpace purpose-built fintech apps. CRED, despite its premium user base and aggressive rewards strategy, now faces pressure from an app that users already open dozens of times daily for messaging. The shift has broader implications for NPCI’s ongoing deliberations around market share caps for TPAs and the competitive dynamics between Big Tech entrants and domestic fintech firms. YourStory ...

Fintech Brief — July 24, 2026 NPCI Developing Offline UPI Tap-to-Pay for Transactions Up to ₹2,000 The National Payments Corporation of India (NPCI) is building an offline UPI payment system that will enable tap-to-pay transactions of up to ₹2,000 using preloaded UPI Lite balances, without requiring an active internet connection. The move targets transit hubs, underground metro stations, and areas with poor connectivity where digital payments currently stall. This comes as UPI closes FY 2025-26 with staggering numbers: 241.6 billion transactions worth over ₹308 lakh crore (approximately $3.7 trillion), a 30% volume growth over the previous fiscal. March 2026 alone saw a record 22.6 billion transactions worth ₹29.53 lakh crore. The platform is now live across 12 countries, including France, Singapore, and the UAE, cementing its position as the world’s largest real-time retail payment system by volume. Source: Moneycontrol ...