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RBI unveils draft PPI rules 2026 to reshape wallets and KYC limits for users and fintechs
Technology
Published on 24 April 2026
Small wallets may be locked, but must upgrade soon
The RBI has released a draft Master Direction on Prepaid Payment Instruments (PPIs) 2026, replacing the current 2021 framework. It tightens KYC and sets wallet usage caps, including limits on monthly debits and outstanding balances. Small PPIs can be issued with minimal data but must convert to full KYC within two years. The draft also increases escrow supervision and extends wallet use cases for international tourists.
- Draft PPI rules 2026 replace the 2021 master directions
- Full KYC and small PPIs get separate limits and validity terms
- Small PPIs must upgrade to full KYC within two years
- Non-bank issuers face stricter approval and escrow account oversight
Read the full story at Startup Talky
This summarization was done by Beige for a story published on 
Startup Talky