wordpress blog stats
Connect with us

Hi, what are you looking for?

Citrus Pay removes charges on government bills

citruspay

Payment gateway Citrus Pay has waived off charges for its services for all government institutions for a period of 18 months. The move follows the government’s removed surcharge and service tax on digital payments in February.

Citrus Pay will start a special program to waive any charges for its payment gateway platform, and only direct bank interchange fees will be applicable. The company says that government merchant payments have been increasing at 70% year-on-year, and that with this program it expects to double the volume of business.

Indian government bodies’ services and products are either a controlled commodity or the prices are fixed, the government institutions find it difficult to absorb the fees associated to electronic payments. These fees are passed on to the consumer in forms of surcharge or convenience fees.

The Economic Times pointed out that government bodies will stand to lose 2% transaction charges and could impact the revenues of government companies like IRCTC.

Citrus works with government merchants such as IRCTC, Delhi Metro, Delhi Jal Board and multiple state municipal bodies, among others.

Department of economic affairs suggestions

Advertisement. Scroll to continue reading.

Last month, the department of economic affairs (DEA)  had proposed a number of suggestions to boost the adoption of digital payments. The DEA issued a number of short and medium term recommendations which includes use of existing open-loop systems issued by a bank for making transit payments and relax Two Factor Authentication norms for both card present and card not present transactions below a certain specified amount.

Recent developments at Citrus

– In December 2015, Citrus Payment Solutions hived off its mobile app Cube as a separate entity with co-founder Satyen Kothari at the helm.

– In October 2015, Citrus acquired Bangalore-based payments company Zwitch for an undiscloded amount. Following the deal, founders Anish Achutan and Mabel Chacko will be joining Citrus Pay along with the core members of Zwitch.

– In the same month, the company raised Series C funding led by Ascent Capital and existing investor, Sequoia Capital, with participation from other existing investors, Beenos and eContext Asia.

Advertisement. Scroll to continue reading.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

By Rahul Rai and Shruti Aji Murali A little less than a year since their release, the Consumer Protection (E-commerce) Rules, 2020 is being amended....

News

By Anand Venkatanarayanan                         There has been enough commentary about the Indian IT...

News

By Rahul Rai and Shruti Aji Murali The Indian antitrust regulator, the Competition Commission of India (CCI) has a little more than a decade...

News

By Stella Joseph, Prakhil Mishra, and Surabhi Prabhudesai The recent difference of opinions between the Government and Twitter brings to fore the increasing scrutiny...

News

This article is being posted here courtesy of The Wire, where it was originally published on June 17.  By Saksham Singh The St Petersburg paradox,...

You May Also Like

News

Speaking at a webinar, the RBI deputy governor examined key issues related to bank-backed digital currencies and spoke about why they were important given...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ