State Bank of India, India’s largest bank has launched it’s own payment Gateway Service which will help merchants, customers and various government departments use the internet to facilitate electronic transactions.
Named as SBIePay, this is for the first time that an Indian bank has launched such a broad spectrum of online aggregator services, targeting financial transactions and electronic payments.
Any ecommerce vendor can implement this payment gateway to accept payments by credit card, debit card, net banking and mobile banking. Besides these, SBI has also said that they will integrate EBPP and IVRS into this payment gateway system to make the process easier.
EBPP or Electronic Bill Payment Platform enables a merchant to generate the bill and receive payments online while IVRS or Interactive Voice Response System can help vendors to receive payments via interactive phone based payment system.
The SBIePay payment gateway will be equipped with a dashboard so that the vendors can checkout analytics and traffic related data for better tracking and measurement of their business.
Besides ecommerce players and small business owners, this new payment gateway service aims to target government institutions as well, so that citizens can easily make their payments online.
Growth in Electronic Payments
According to the bank which has more than 256.4 million customer accounts, between 2008 and 2012, electronic payments in India have grown at a rate of around 32%, from about Rs 15,400 crores to Rs 47,349 crores.
Currently Debit Card and Internet Banking account for around 45 % of the transactions, 43 % of transactions are still processed through Credit Cards. Cash on Delivery (COD) comprises around 40-60 % of transactions within e-Tailing.
Government payments are still in a nascent stage and is currently operated through authorized bank branches, collection centers, drafts, etc, which will move onto the e-Commerce platform.