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Digital Transactions
Why is it in the news?
- In its payment system vision document for 2019-2021, the Reserve Bank of India (RBI) has envisaged four times growth in digital transaction in two years.
More in the news
Payment Systems Vision 2021 Document:
- It aims to achieve a ‘highly digital’ and ‘cash-lite’ society through the goal posts of competition, cost effectiveness, convenience and confidence (4Cs).
- The RBI expects accelerated growth in individual retail electronic payment systems, both in terms of number of transactions and increased availability.
- Payment systems like UPI and IMPS are likely to register average annualised growth of over 100%, and NEFT at 40%, over the vision period.
- The number of digital transactions is expected to increase more than four times from 2,069 crore in December 2018 to 8,707 crore in December 2021.
- Use of debit cards in PoS transactions is expected to be at least 44% of total debit card transactions.
- However, no specific target has been considered for reducing cash in circulation.
Source
The Hindu.