Making way towards a major win for India, Google has come forward and joined hands in interest with India’s Growth. Yet another major milestone achieved under the PM Narendra Modi Era and team members striving hard for achieving the recognition for India globally.
According to reports, Google CEO Sundar Pichai has assured Minister for Information Technology and Law, Ravi Shankar Prasad, about Google’s intent to adhere to the Reserve Bank of India’s (RBI) directions on storing information relating to financial payments in India.
“However it has sought a little extra time- between one and two months to comply with the regulation”, a top IT ministry official said.
“We maintain that cross-border data flows today are ubiquitous and an essential phenomenon for global economic activity and universal access to information. Soaring data flows must be thoroughly considered while framing any policy”, the official added.
Google CEO as having stated that “we will abide by all conditions that are being stipulated by the Indian government and regulators regarding the payments service”. This is highly significant considering the opposition voiced by multinational players regarding India’s data localisation norms.
Concerning about safety and security of the transactions and in order to have a stricter monitoring, on 6th of April, the RBI had issued a notification asking companies to store the data concerning financial transactions within India. Companies had been asked to comply by 15 October and it is reported that while Google has agreed to store data within India, it has sought additional time to comply.
Earlier this year, Investment banking firm Credit Suisse forecasted that digital payments will witness strong growth in India after the entry of Global Players.
Among which Google is a major player in the digital payments space and had launched ‘Tez’ last year to facilitate transactions over UPI (Unified Payments Interface) with 22 million active users and 750 million transactions. The robust response to Google’s payment option resulted in the company re-positioning the service as ‘Google Pay’.
This seems to be a major milestone achieved by India and NDA Government Era. The digital payments space in India is projected to grow rapidly especially with the recent entry of multinational players and Google’s acquiescence to Indian regulations could pave the way for others to follow it.
According to the Reserve Bank of India, digital payment companies have been given a six-month deadline to ensure that all ‘payment system providers’ should store all data relating to the payment systems in India only. A ‘payment service provider’ as specified under the Circular, is any person who operates an authorized payment system or a system that enables a payment between two persons, as per the provisions of the Payment and Settlement Systems Act 2007.
Source: Economic Times