New Delhi, April 9 -- April 9 : In order to further boost digital payments, the National Payments Corporation of India will be enabled to set the limit on person-to-merchants transactions via Unified Payments Interface (UPI), RBI Governor Sanjay Malhotra said on Wednesday.

At present, the transaction amount for UPI, covering both person-to-person (P2P) and person-to-merchant payments (P2M), is capped at Rs 1 lakh, except for specific use cases of P2M payments which have higher limits, some at Rs 2 lakh and others at Rs 5 lakh.

"To enable the ecosystem to respond efficiently to new use cases, it is proposed that NPCI, in consultation with banks and other stakeholders of the UPI ecosystem, may announce and revise such limits based on evo...