RBI raised the UPI transaction limit for healthcare facilities and educational institutions; see the new limit

 RBI raised the UPI transaction limit for healthcare facilities and educational institutions; see the new limit

RBI raised the UPI transaction limit for healthcare facilities and educational institutions; see the new limit

RBI Monetary Policy: The new monetary policy of the RBI aims to decrease the amount of cash used for paying medical bills and school fees by raising the limit of UPI transactions.

RBI Monetary Policy: The Reserve Bank of India has been working nonstop to encourage the nation to embrace UPI. The monthly increase in UPI transactions may be attributed to this. Artificial Intelligence (AI) in UPI for offline transactions has been encouraged by RBI. The repo rate is staying the same, according to RBI Governor Shakti Kant Das at Friday's monetary policy meeting announcement. Additionally, he declared raising the UPI transaction limit to Rs 5 lakh in hospitals and educational establishments.

will have more money to spend on healthcare and education

Following the RBI's recent ruling, UPI is currently being used to make more payments at healthcare and educational facilities. The new policy states that instead of paying Rs 1 lakh per transaction at certain locations, up to Rs 5 lakh may now be made using UPI. The usage of UPI at these institutions will be encouraged by this decision. There will be less hassle involved with paying medical expenses and college tuition.

No reduction in loan interest payments

The repo rate and other policy rates have not changed as part of the Reserve Bank's monetary policy. Thus, there won't be any reduction in loan interest payments. Banks will continue to receive loans at the same rates as the RBI's monetary policy does not alter the repo rate. The Reserve Bank has maintained its policy rates for the last four times in a row.

There will be 5.40 percent inflation.

According to Shaktikanta Das's forecast, the nation's retail inflation rate in 2024 would only be 5.40 percent. The RBI lowered its inflation rate projection to 5.40 percent in August 2023. The cost of food has increased dramatically in the last few years. In addition, there are variations in the price of crude oil. The RBI hasn't raised the inflation rate projection in spite of this. According to Das, the rise in food inflation may be attributed to several factors, including the supply chain. The Central Bank has projected that the rate of inflation would be 5.20 percent in the fourth quarter of the financial year 2024 and 5.6 percent in the third.