WhatsApp close to meeting data localisation norms: NPCI

Mumbai: Facebook-owned instant messaging giant WhatsApp will be compliant with data localisation norms over the next two months, post which it can roll out its much-delayed payments service here, says the National Payments Corporation.

Even after the launch of WhatsApp's payments service, it will take at least two years to reduce the cash dominance in the economy as the user base of digital payments must at least treble to 300 million to have any tangible impact on paring cash usage, the RBI-created NPCI's chief executive Dilip Asbe said in an interview.

WhatsApp has been running a beta version of its payments service since last year in the country, and its official launch is being keenly watched by stakeholders, including its over 300 million users. Many think WhatsApp can help India emulate China's WeChat story, and help achieve the cashless payments objectives.

"There are still a couple of intermediaries where work is in progress. One is Google, second is WhatsApp. We believe WhatsApp will be fully compliant in the next two months' time," Asbe said.

WhatsApp has capped the number of payment service users at 1 million now as it is yet to fully meet RBI's data localisation norms which require foreign companies to store transaction and user data within the country and delete the same from foreign servers within 24 hours.