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India's Central bank working on integration between e-commerce firms and banks

Published 04/20/2015, 10:18 AM
Updated 04/20/2015, 10:42 AM
© Reuters. The Reserve Bank of India seal is pictured on a gate in Mumbai

MUMBAI (Reuters) - India's central bank is working on improving the integration between e-commerce firms and the country's banking systems, a deputy governor of the Reserve Bank of India (RBI) said on Monday.

"One area which we will now be looking at very closely, which is emerging, is how to provide integration between e-commerce platforms and banks," Deputy Governor H.R. Khan said at a banking industry event.

India's fast growing e-commerce market is valued at about $12 billion, however most shoppers still pay for their online purchases through cash at the doorstep.

© Reuters. The Reserve Bank of India seal is pictured on a gate in Mumbai

Khan said the central bank is also considering relaxing its requirement for a two-step authentication process for small transactions to make online payments smoother.

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