The Reserve Bank of India (RBI) has imposed a ban on Mastercard Asia Pacific from issuing any new debit or credit cards.
According to the central bank, the action follows a violation of the RBI’s norms on the storage of payment systems data. The ban will come into effect starting from July 22 with the RBI clarifying that this action will not impact existing Mastercard customers.
The move comes less than three months after the RBI barred American Express and Diners Club International from issuing new cards due to similar violations. Also in focus are the government’s draft e-commerce rules, where the Centre has decided to extend the deadline for public comments on the proposed rules to August 5.
For context, the rules seek to ban fraudulent flash sales as well as bar-related companies from selling their products directly on the platforms. They also make it mandatory for e-commerce companies to appoint grievance and compliance officers.
To discuss this, CNBC-TV18’s Parikshit Luthra spoke to Mukesh Aghi, president of USISPF.