<h1>RBI Sets Mobile Banking Rules: Licensed Banks Only, Domestic INR Transactions, Two-Factor Authentication Required, Transaction Limits Enforced.</h1> The Reserve Bank of India has issued guidelines for mobile banking transactions, emphasizing the growing importance of mobile phones in banking. Only licensed banks with a physical presence in India can offer these services, restricted to domestic transactions in Indian Rupees. Banks must implement core banking solutions and adhere to security standards, including two-factor authentication and encryption. Customer registration requires physical presence, and banks must inform customers of terms and conditions. Interoperability between banks and network operators is a long-term goal. Transaction limits are set at Rs. 5000 for funds transfer and Rs. 10,000 for purchases, with a focus on customer protection and grievance redressal.