Starting July 16, 2025, Indian government payments over ₹75 crore must be processed through the RBI’s e-Kuber system for greater transparency and efficiency in fund management.
Overview
Effective July 16, 2025, all Indian government payments exceeding ₹75 crore will be mandated to utilize the RBI’s e-Kuber system. The initiative aims to enhance transparency, accelerate processing, and facilitate easier tracking of significant payments, ultimately improving fund management efficiency.
Key Details
- New Rule: Payments above ₹75 crore by central government departments must go through e-Kuber.
- Previous Limit: Earlier, only payments exceeding ₹500 crore were required to use e-Kuber.
- Enhanced Efficiency: With e-Kuber, account details can be matched within 24 hours.
- System Overview: e-Kuber is an online platform by the RBI for secure money transfers.
- Future Prospects: The threshold may be further reduced to ₹50 crore for stricter adherence.
Why the Change?
The shift to e-Kuber is aimed at expediting payment processes, ensuring accuracy, and enabling real-time monitoring of fund allocations to prevent misuse and delays.
About e-Kuber System
The e-Kuber system, developed by the RBI, facilitates efficient fund transfers between the government and banks, enhancing transaction speed and security.
Future Initiatives
Authorities plan to potentially reduce the transaction limit to ₹50 crore in the future, aligning with the government’s broader agenda of digitizing public finance for enhanced accountability and operational efficacy.
Key Takeaways for Competitive Exams
- Effective July 16, 2025, Indian government payments exceeding ₹75 crore must be processed through the RBI’s e-Kuber system.
- The e-Kuber system aims to enhance transparency, speed up payment processing, and enable real-time tracking of fund allocations.
- Authorities may further lower the transaction threshold to ₹50 crore in the future to bolster digital financial management.
- The move signifies the government’s commitment to streamlining fund transfers and promoting accountability in public finance.
