The Securities and Exchange Board of India vide its notification dated 30th March 2020 has decided to continue with the current phase II of Unified Payments Interface (UPI) with Application Supported by Blocked Amount due to Covid-19 virus pandemic.
SEBI in its previous circular dated 8th November 2019 has notified that the timeline for implementation of Phase II of UPI with Application Supported by Blocked Amount (ABSA) was extended till March 31, 2020.
However, the decision to continue with the second phase came as representations were made to SEBI by various stakeholders about prevailing uncertainty due to the COVID-19 pandemic. Further, it has been stated that the systems and processes for achieving Phase III timelines of T+3 need to be further deliberated and finalized in light of the experience gained during one of the major IPOs that opened and closed in the first week of March 2020. The modalities for the implementation of Phase III of the UPI ASBA shall be notified later after deliberations with stakeholders.
Click here to read the Notification.
