Secondly, we have had rules that required all forex flows to be routed only through banking institutions or others specifically authorized to undertake forex transactions. Given this background, even if we had to agree mobile phones can only be used to trigger the transfer of funds from overseas by a non-resident to the beneficiary’s bank account in India.
The banks will have to be responsible for ensuring quality of funds, KYC, etc. We have in fact permitted banks to enable cross border bank account to bank account remittance through the medium of mobile subject to clearance from the local regulator.