Sebi raises UPI limit for investing in debt securities to Rs 5 lakh

The market watchdog Securities and Exchange Board of India (SEBI) has increased the limit for investment through Unified Payments Interface (UPI) mechanism to ₹5 lakh for investors applying in public issues of debt securities based on discussions with market participants.

The increased limit of ₹5 lakh via UPI mode will be effective on public issues of debt securities which will open on or after May 1, 2022. Debt securities can include Non-convertible Securities, Securitised Debt Instruments, Security Receipts, Municipal Debt Securities and Commercial Paper.

This has been done to bring uniformity in UPI limit allowed in IPO subscription. Earlier NPCI had increased the per transaction limit in UPI from Rs. 2 lakh to Rs. 5 lakh for UPI-based Application Supported by Blocked Amount (ASBA) Initial Public Offer(IPO).