This is a period of transition and the co-operation and patience of the Indians shall be truly appreciated.
It is necessary that we all understand that the country is moving towards reduced usage of cash. Going forward, ‘Digital’ banking is a joint effort between the Government, banks and customers.
Fundamentally, the aim is to ensure that a customer is not inconvenienced on account of not carrying cash.
Progress & Process:
Demonetisation is almost a necessity to root out counterfeit notes which have a direct correlation with terror funding and other fraudulent activities.
If a country is to progress we cannot have less than 10% of the population paying Income Tax. An effort is being made to ensure that people conduct their business in a fair and transparent manner. Increased ‘Digital’ transactions will not only provide convenience to the customers but will also root out corruption and bring down the cost of banking services.
It is imperative that the savings of individuals and businesses are used to spur investments. It is further necessary that most of the currency in circulation is moving through the banks rather than being stored at various places in an unproductive manner. This will give banks the capacity to lend and also to bring interest rates down in order to spur investment and be competitive.
A study by MasterCard shows that the cost of using cash i.e. printing, transporting, storage, soiled notes, etc. is almost 1.5% of GDP. The move to ‘Digital’ transactions, through the Banking System will not only benefit the customer but also the economy through lowering of cost.
We also need to bring to semi-urban and rural India the convenience of dealing ‘Digitally’ and getting services/ loans at competitive rates.
This way will be putting our hands in the benefit of the nation which will mutually help in the faster growth of the country.
This way will be putting our hands in the benefit of the nation which will mutually help in the faster growth of the country.
Proud to be an Indian!
