In a landmark move for India’s digital payment landscape, the Reserve Bank of India (RBI) has launched the Offline Digital Rupee, allowing users to make transactions without internet or telecom connectivity. This innovation brings digital money closer to physical cash — enabling payments through a simple tap or QR scan, even in remote areas.

Key Highlights

• RBI rolls out Offline Digital Rupee, enabling payments without internet or telecom access. 
• The system enables tap-to-pay between digital wallets using NFC or QR, mimicking cash-like transactions.

Unveiled at the Global Fintech Fest (GFF) 2025 in Mumbai, the initiative marks a major milestone in the RBI’s Central Bank Digital Currency (CBDC) journey, making India one of the first countries to operationalize an offline version of a CBDC.

Branded under the tagline “Cash, but Digital!”, the feature was developed in partnership with HDFC Bank, one of the key collaborators in the RBI’s pilot program. Demonstrations at the event showcased real-world use cases, from buying tea in the Himalayas to shopping in rural markets without network coverage.

The rollout is part of the Programmable Central Bank Digital Currency (PCBDC) initiative, which introduces both offline functionality and programmability — allowing digital rupees to be tailored for specific use cases such as subsidies, welfare disbursements, and corporate payouts.

How It Works: Tap, Transact, and Go

Unlike UPI, which relies on internet connectivity and bank servers, Offline Digital Rupee transactions occur directly between two digital wallets using near-field communication (NFC) or other secure proximity technologies.

Users can simply tap their devices to complete instant transfers — even in low or no-network zones. Each transaction is settled in digital rupee denominations, with exact change automatically generated in the wallet, ensuring a seamless cash-like experience.

Also Read: RBI Plans to Launch UMI for Markets After UPI and ULI Success

Faster, Cheaper, and Connection-Free

According to the RBI and partner banks, the offline CBDC system is faster, cheaper, and more reliable than conventional UPI payments as it eliminates intermediaries, gateways, and network dependencies. Supporting both Person-to-Person (P2P) and Person-to-Merchant (P2M) payments, it also integrates seamlessly with existing UPI QR infrastructure.

“This is more than a technological innovation — it’s a fundamental reimagining of how money moves across both connected and unconnected India,” said a senior banker involved in the initiative.

As India continues to lead the global fintech revolution, the Offline Digital Rupee sets a new standard for sovereign digital currencies, likely inspiring other central banks to explore offline-ready, programmable CBDCs.