The Reserve Bank of India (RBI) continues to strengthen the
framework for payment and settlement systems and harness the full
potential of information technology to improve operational
efficiency. During 2006-07 so far, the focus has been on security of
IT systems and development of electronic payment products.

In Mid-Term Review of the Annual Policy Statement for 2006-07, RBI
has outlined the Status and Proposed Action in area of Electronic
Payment Products-

1. The coverage of the RTGS system has increased significantly. By
October 23, 2006 RTGS connectivity was available in 24,425 branches
as against a target of 20,000 branches set for end-June, 2006. The
number of monthly transactions of the system has exceeded 300,000.

2. The national electronic funds transfer (NEFT) system for
electronic transfer of funds, which was operationalised on November
1, 2005 is now available at 9,096 branches.

3. The pilot project for cheque truncation system, which aims at
enhancing efficiency in the retail cheque clearing sector, is
expected to be implemented in New Delhi by end-December, 2006.

4. It was indicated in the Annual Policy Statement of April, 2006
that the National Settlement System (NSS) which aims at settling
clearing positions of various clearing houses centrally would be
introduced by end-December, 2006.

RBI has also urged the Banks to ensure that adequate and appropriate
systems such as enhanced security measures and customer education
are put in place in order to prevent malpractices in IT-based
delivery channels of banks.

Banknet India's "Third Conference on Payment Systems in Banks" on
10th January 2007 at Mumbai, India will focus on Automated Clearing
House, Electronic Clearing Services, RTGS, NEFT, Cheque Truncation,
Electronic Payment Services, ATMs, Internet Banking, Mobile Banking,
Card Payments, Technology & Security Issues in Electronic Payment
Systems, International Remittances etc.Nearly 500 delegates are
expected to attend the conference.

According to Anurag Khanna, CEO of Banknet India, this Conference
will provide a unique opportunity to get first hand insight on
Electronic Payment and Settlement Systems from the regulator and the
top bankers. An exhibition will also be organized to showcase
Products /services of major technology vendors.

For more information, please visit-
http://www.banknetindia.com/payment07.htm