The central bank Reserve Bank of India (RBI) has increased the UPI limit for investment in IPO. Earlier investors could invest up to Rs 2 lakh in IPO through UPI but now it has been increased to Rs 5 lakh. Apart from investing in IPOs, the UPI limit for buying government bonds through the RBI Retail Direct Scheme has also increased and investors can invest up to Rs 5 lakh.
RBI Governor Shaktikanta Das gave this information while announcing the monetary policy today (December 8). Das said that it is proposed to increase the limit of investment in government securities and IPO investment from Rs 2 lakh to Rs 5 lakh under the Retail Direct Scheme through UPI.
RBI Monetary Policy Committee: No change in repo rate for the ninth time in a row, inflation is not expected to moderate in the current financial year
Efforts to increase the participation of retail investors in the financial market
The central bank said in its statement that it is continuously making efforts to increase the participation of retail investors in the financial market. For example, recently the Retail Direct Scheme was introduced for direct investment by retail investors in government bonds. Under this scheme, in addition to internet banking, payments can be made for purchases in the primary and secondary markets through UPI as well.
UPI is fast becoming the preferred choice
Ever since the introduction of UPI, IPO (Initial Public Offering) is fast becoming the preferred choice for payment of investment. According to the information, out of the subscriptions received for the IPO, the bid of Rs 2-5 lakh is about 10 percent. The transaction limit in the UPI system was doubled from Rs 1 lakh to Rs 2 lakh in March 2020 and now it has been increased to Rs 5 lakh.
(Article: Harshita Tyagi)
Get Business News ,, latest India News ,, and other breaking news on share market, investment scheme and much more on Business Khabar. Like us on Facebook, Follow us on Twitter for latest financial news and share market updates.
.