<h1>RBI Launches Semi-Closed Prepaid Payment Instruments for Mass Transit Systems with Rs. 2000 Limit, Valid for Six Months.</h1> The Reserve Bank of India introduced a new category of semi-closed Prepaid Payment Instruments (PPI) for mass transit systems. These PPIs, issued by authorized transit system operators, must include an Automated Fare Collection application and can only be used with merchants within the transit premises. They have a minimum validity of six months, may be reloadable, and have a balance limit of Rs. 2000. Cash-out or refunds are not permitted, and Domestic Money Transfer guidelines do not apply. Existing guidelines on escrow arrangements, grievance redressal, and merchant due diligence remain applicable.