A system and method for facilitating rule-based partially online and offline payment transactions

A method (200) for facilitating registered users to perform rule-based partially online and offline payment transactions, each of the registered users having one or more payment service provider (PSP) tools (20) installed on their electronic devices (10), each PSP tool (20) hosted by a PSP server (30), the registered users having a financial account linked with a unique multi-character PIN and a global identifier, said method (200) comprising:

• executing (202), by a PSP tool (20) installed in an electronic device (10) associated with a registered user, a trusted application (104) in a secured storage area of the electronic device (10);
• enabling (204), via a central electronic switch (106), the trusted application (104), the PSP tool (20), and the PSP server (30) to communicate with an authentication engine (108) and a plurality of banking system servers (40,50) to enable the registered user to:
• enroll and create (204a) a Unified payments Interface (UPI) lite account for performing the rule-based partially online and offline payment transactions;
• load money (204b) into the created UPI lite account from a registered financial account, wherein the value of money loaded into the UPI lite account is stored as a balance value in the secured storage area;
• and
• utilize the balance value (204c) for performing the partially online and offline payment transactions without hitting the banking system servers (40,50).