CHENNAI: The State Bank of India has introduced interoperability of the digital rupee or e-rupee with UPI (Unified Payments Gateway), which will allow users to scan and pay UPI QR codes with digital currency. This would enhance the adoption of the retail digital rupee.
With the ‘eRupee by SBI’ application, SBI CBDC users can scan any merchant UPI QR code for transactions, the bank announced on Monday. The bank said this integration will be a game changer for the digital currency ecosystem and help transition to a more cashless economy.
“By bridging the gap between CBDC and extensively used UPI platform, SBI aims to revolutionise payments made in India. With this move in the realm of digital payments, the future of CBDC integration appears promising,” a statement from the bank said. IDFC First Bank announced the integration of UPI QR codes with its CBDC.
UPI interoperability feature will dramatically enhance the adoption of CBDC across the country, IDFC First Bank executive director Madhivanan Balakrishnan was quoted as saying. SBI and IDFC First were among the first few banks to participate in the RBI’s retail digital e-rupee project in December 2022.