Digital Transformation

A day after Prime Minister Narendra Modi announced that to curb black money in circulation Rs 500 and Rs 1,000 notes would no longer be recognised as legal tender, finance minister Arun Jaitley added a new gloss to the decision. He announced that this currency swap would “not merely nudge the economy in the direction of cashless economy but  a significant push in that direction.” Economic affairs secretary Shaktikanta Das echoed this in an interview, explaining that this move was part of a larger agenda to move India into a digital economy.

 These calls reached a crescendo in Modi’s monthly radio address, where he asked citizens to take a pledge to be part of a cashless society. But do the preconditions for a successful transition to digital banking exist?

India, post demonitisation, is planning to become a cashless economy and soon you will be able to have transactions with your 12-digit Aadhar number. The move is being driven by NITI Aayog and government is looking forward to launch a clear-cut defined policy so as to make India get over cash transactions.