Reserve Bank Of India Introduces The RBI-Digital Payments Index

The Reserve Bank of India has constructed a composite Digital Payments Index (DPI) to capture the extent of digitisation of payments across the country.

The RBI-DPI comprises of 5 broad parameters that enable measurement of deepening and penetration of digital payments in the country over different time periods:

  1. Payment Enablers (weight 25%)
  2. Payment Infrastructure – Demand-side factors (10%)
  3. Payment Infrastructure – Supply-side factors (15%)
  4. Payment Performance (45%)
  5. Consumer Centricity (5%)
  • Each of these parameters have sub-parameters which, in turn, consist of various measurable indicators. The major sub-parameters under each parameter are available here.
  • The RBI-DPI has been constructed with March 2018 as the base period, i.e. DPI score for March 2018 is set at 100.
  • The DPI for March 2019 and March 2020 work out to 153.47 and 207.84 respectively, indicating appreciable growth.
  • Going forward, RBI-DPI shall be published on RBI’s website on a semi-annual basis from March 2021 onwards with a lag of 4 months.