Digital wallets users can store up to Rs. 20, 000: RBI

The Central Bank of India has announced that customers using digital wallets can now store up to Rs. 20, 000, in order to deal with the current cash crunch problem being faced by people, post the declare of demonetisation of the higher valued Indian currency notes.
The result of the doubling the limit of balance in digital wallets has brought more people to register and use the e-wallet  and thus benefiting the e-wallet firms as overall transactions volumes are likely to surge even further.
The new guideline will be applicable till end of the year, as per a circular, issued by the RBI.
Govind Rajan, CEO, Freecharge, said, "The doubling of limit will have an immensely beneficial impact for users and small merchants. Given the quantum jump in digital wallets usage in recent days, this increase in limits makes it easier for both users and merchants to shift more of their cash transactions to digital wallets. The progressive policies of the RBI and the government's prompt resolution of industry issues will go a long way in building cash less India."
E-wallet firms such as MobiKwik too have praised the move by central bank and expect the flow of revenue to be more for the firm.
A senior executive at a digital payments platform said that the announcement made by RBI will allow larger size transactions and will not only help the users but merchants who can accept bigger payments.
According to the reports published by IANS, the RBI has also allowed merchants to transfer up to Rs 50,000 a month from their wallets to their bank accounts. Since the government's demonetisation drive was announced two weeks ago, leading wallet players like Paytm, Freecharge and Mobikwik have witnessed a perceptible spike in overall transaction volumes along with growth in new users and merchants. Paytm founder and CEO Vijay Shekhar Sharma welcomed the latest upgrade by the RBI fin a tweet.