Note ban: Cash deals worth Rs 25,000 cr move to digital mode


Team Udayavani, Jan 10, 2017, 3:25 PM IST

New Delhi: Post demonetisation, cash-based transactions worth Rs 25,000 crore have moved to the digital mode, says a survey. The Economic Research Department of State Bank of India carried out the survey from December 30, 2016 to January 3, 2017 so as to understand the nuances of demonetisation. It showed that 15 per cent of transactions moved to electronic payments such as m-wallets and Point of Sale machines.

“This means that Rs 25,000 crore of cash based transactions have moved to digital in the last two months. If this is so, this is a good beginning,” SBI Research said in its Ecowrap report. This number could have been even higher because the behavioural shift has not happened yet and many merchants still prefer cash transactions when the amount is not large, the survey said, adding that a number of merchants are facing connectivity issue at POS machines.

It further noted that around 69 per cent of the respondents affirmed that their businesses were impacted and the overall decline in business is less than 50 per cent for the majority of the businesses that were impacted. The construction sector and the informal road-side vendors seem to be the most hit with 55 per cent and 71 per cent respondents saying that the business got reduced by more than 50 per cent.

In order to boost digital payments, the government should take on-board new merchants, particularly small and marginal traders, grocery shops and the like on digital platform by a more targeted approach, the report said. “We also suggest that RBI should enhance the mobile wallet user limits further to shift more of the cash transactions to digital wallets. This may be done in steps with enabling IT infrastructure in place,” it added.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Jasprit Bumrah, Virat Kohli my favourite cricketers: Ex-CJI D Y Chandrachud

Veg diet, alcohol abstinence, behaviour training: UP cops prep for ‘pleasant’ Maha Kumbh

Senior BJP leaders meet Fadnavis after Mahayuti’s landslide win

Vijayapura: One-year-old child abducted from district hosp

‘Mrs’ a beautiful blend of my two passions acting and dancing: Sanya Malhotra

India reach 359-5 at tea against Australia on day 3 of opening Test

Kerala bypolls results: People reject anti-incumbency wave campaign by political opponents, says CPI

Related Articles More

Air India Express increases flight operations from northeast destinations

Mcap of 8 of top-10 most-valued domestic firms jumps Rs 1.55 lakh cr; HDFC Bank, TCS sparkle

Myntra pilots foray into quick commerce with ‘M-Now’ in select locations of Bengaluru

Never entered into pact to operate airport in Kenya: Adani

None of Adani portfolio cos subject to any legal case: Group CFO on promoter indictment in US

MUST WATCH

Prakash Belawadi

Naxal Leader Vikram Gowda

Christmas Cake Fruit Mixing

DK Shivakumar

Rose Cultivation


Latest Additions

Sambhal violence orchestrated by BJP, govt to divert attention from poll rigging: Akhilesh

CRPF sets up three new forward bases in Chhattisgarh’s hardcore Naxal areas

Jasprit Bumrah, Virat Kohli my favourite cricketers: Ex-CJI D Y Chandrachud

Veg diet, alcohol abstinence, behaviour training: UP cops prep for ‘pleasant’ Maha Kumbh

Senior BJP leaders meet Fadnavis after Mahayuti’s landslide win

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.