WhatsApp starts payment service in India
New Delhi: WhatsApp on Friday said it is rolling out its payments services in India after receiving nod from the National Payments Corporation of India (NPCI).
In 2018, the Facebook-owned company had started testing its UPI-based payments service in India, which allows users to utilise the messaging platform to send and receive money. The testing was limited to about a million users as it waited for regulatory approvals to come in.
On Thursday, NPCI - which runs the Unified Payments Interface (UPI) used for real-time payments between peers or at merchants' end while making purchases - allowed WhatsApp to start its payments service in the country in a "graded" manner, starting with a maximum registered user base of 20 million in UPI.
"Starting today, people across India will be able to send money through WhatsApp. This secure payments experience makes transferring money just as easy as sending a message. People can safely send money to a family member or share the cost of goods from a distance without having to exchange cash in person or going to a local bank," WhatsApp said in a blogpost.
It added that the payments feature has been designed in partnership with NPCI using UPI, an India-first, real-time payment system that enables transactions with over 160 supported banks.
In June this year, WhatsApp had launched 'WhatsApp Pay' in Brazil - making it the first country where the service was widely rolled out.
In India, WhatsApp - which counts India as its biggest market with over 400 million users - will compete with players like Paytm, Google Pay, Walmart-owned PhonePe and Amazon Pay.
"Payments (service) on WhatsApp is now available for people on the latest version of the iPhone and Android app... We're excited to join India's campaign to increase the ease and use of digital payments, which is helping expand financial inclusion in India," it said adding that users will need to have a bank account and debit card in India to send money through the platform in India.
WhatsApp said it is working with five banks in India - ICICI Bank, HDFC Bank, Axis Bank, the State Bank of India, and Jio Payments Bank - and people can send money on WhatsApp to anyone using a UPI supported app.
"In the long run, we believe the combination of WhatsApp and UPI's unique architecture can help local organisations address some of the key challenges of our time, including increasing rural participation in the digital economy and delivering financial services to those who have never had access before," it added.
WhatsApp noted that its payments service is designed with a strong set of security and privacy principles, including entering a personal UPI PIN for each payment.
"There is no fee... because its WhatsApp, you know its secure and private too. With UPI, India has created something truly special and is opening up a world of opportunities for micro and small businesses that's the backbone of the Indian economy," Facebook CEO Mark Zuckerberg said in a video message.
He added that the payments service will be available in 10 Indian language versions of WhatsApp.
Interestingly, the approval for WhatsApp came on the same day as NPCI limited a single third party like WhatsApp or its rivals like Google Pay or Walmart's PhonePe to handle only 30 per cent of overall UPI transaction volumes by putting a cap. This is expected to allay fears of potential monopolisation.
Recently, PhonePe had announced crossing the 250 million registered user milestone and over 100 million monthly active users (MAU), and had 835 million UPI transactions in October with a market leading share of over 40 per cent.
Google had 67 million monthly active users in September last year, and on the merchant side, it had over three million active merchant's data for June 2020. Google Pay has not shared any updated stats since September 2019.
UPI processed over 2.07 billion transactions in October (worth Rs 3.86 lakh crore), up from over 1.8 billion in the previous month, as per data from NPCI.
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Successfully overcame major resistance to Karnataka Muslim Convention, says Suhail Ahmed Maroor
Bengaluru: Karnataka Rajya Muslim Sanghatanegala Okkoota spokesperson Suhail Ahmed Maroor on Saturday said the organisers had successfully overcome what he described as significant resistance to the ‘Karnataka Muslim Convention’, despite a misinformation campaign in the last 24 hours claiming that the event had been cancelled.
Speaking at the convention organised by the Karnataka Rajya Muslim Sanghatanegala Okkoota at Town Hall in Bengaluru, Maroor began his introductory remarks by reading out the Preamble to the Constitution.
He said the federation had spent the past eight months consulting members of the Muslim community and gathering opinions, with the objective of working for the community’s interests and safeguarding its constitutional rights.
Maroor said the Muslim community has the capacity to gather lakhs of people for religious programmes, but when an attempt was made to mobilise even 1,000 people for a convention focused on political, educational and social issues, questions were raised about who was backing the event, who had funded it, and whether it was for or against any particular political party.
He said the organisers faced considerable pressure, resistance and challenges, and added that many others might have cancelled the programme under such circumstances.
“We are fighting for our rights. We are living in a time when our identity is under threat,” he said.
Referring to the hijab issue, Maroor said the federation had been demanding for the past three years that the government withdraw the order banning hijab. He noted that within three hours of the federation holding a press conference to announce the convention, the government withdrew the order.
He welcomed the government’s decision and expressed gratitude on behalf of the federation.
Maroor said the convention should not be viewed with suspicion simply because the Muslim community had chosen to organise a gathering to discuss its political, educational and social concerns.
He clarified that the programme was not intended as an event against the Congress party or the government, but was aimed at examining what promises the Congress had made to the Muslim community during elections, which of those promises had been fulfilled and which remained pending.
He said the report prepared by the federation analyses both the assurances made by the Congress government and the gaps in implementation.
Maroor added that, for the first time, workers who contribute significantly to the country’s economy were collectively seeking accountability for how their taxes and labour were being recognised.
“This is not being done on behalf of any individual or political party. We are undertaking a small effort on behalf of the community,” he said.
He said that after the convention, the organisers would make efforts to submit the report to Chief Minister Siddaramaiah, Deputy Chief Minister D. K. Shivakumar, state ministers, the Congress high command and Rahul Gandhi.
Haris Siddiqui of the Karnataka Rajya Muslim Sanghatanegala Okkoota delivered the welcome address.
