Cheque Truncation System (CTS)

The Reserve Bank of India (RBI) has announced a significant upgrade to the Cheque Truncation System (CTS), moving from the current batch processing model to a continuous clearing system with settlement on realisation. This transition will take place in two phases.

What is CTS?

CTS is an image-based cheque clearing system that captures cheque images and MICR data electronically at the collecting bank, eliminating the physical movement of cheques.
It is secured through a PKI-based architecture with dual access control, crypto box, and smart card interfaces.
Only cheques compliant with CTS-2010 standards (which mandate minimum security features like watermarks, invisible ink logos, void pantographs, and standardized formats) are eligible for clearing through CTS.

Benefits of CTS

Faster clearance with proceeds realizable within the same day under the new continuous clearing model.
Enhanced security and reduced risks in cheque processing.
Lower costs due to elimination of physical cheque transportation.
Improved data storage and retrieval with centralized image archiving.
Reduction in delays and bottlenecks between cheque presentation and realisation.

Current vs Future Processing

Current system: Cheques take up to two working days to clear.
New system: Cheques will be cleared within hours of submission, greatly speeding up the process.

Source: THE HINDU

Join Our Telegram

Food and Agriculture Organization (FAO)

India-Qatar

08 Nov, 25
SHARE

The India-Qatar Joint Commission on Economic and Commercial Cooperation (JCEC) meeting marked a significant step in strengthening bilateral ties between India and Qatar, focusing on boosting trade, investment, and collaboration across several sectors. Key Outcomes of the India-Qatar Joint Commission Meeting: Ambitious Trade Target:

Food and Agriculture Organization (FAO)

08 Nov, 25
SHARE

India and the Food and Agriculture Organization of the United Nations (FAO) recently celebrated 80 years of partnership on World Food Day 2025. About the FAO The Food and Agriculture Organization (FAO) is a specialized agency of the United Nations established in October 1945. It is the oldest permanent specialized agency of the UN and pl

First Light Combat Aircraft (LCA) Tejas Mk1A

08 Nov, 25
SHARE

India's Light Combat Aircraft (LCA) Tejas Mk1A is set to join the fleet of the Indian Air Force (IAF), marking a significant milestone in India's indigenous fighter jet program. Developed by Hindustan Aeronautics Limited (HAL), the Tejas Mk1A is an upgraded version of the Tejas Mk1, designed to improve its operational capabilities, surv

Forest Rights Act, 2006 (FRA)

05 Nov, 25
SHARE

The Forest Rights Act (FRA), 2006, officially known as the Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, was enacted with the aim of recognizing and vesting forest rights to communities historically dependent on forests. These communities, especially Scheduled Tribes and Other Traditional Forest Dwel

India’s External Debt 2025

05 Nov, 25
SHARE

India’s external debt has risen to USD 747.2 billion by the end of June 2025, marking a 1.5% increase from the previous quarter, according to the latest data from the Reserve Bank of India (RBI). Despite this increase, India’s external debt remains manageable due to various stabilizing factors. Current Status of India’s Ex