International journal of applied research · 2017 · 35 citations · 0 references
BusinessFinanceFinancial ManagementBankingCash ManagementFinancial RegulationCash HandlingDigital BankingElectronic BankingElectronic Funds TransferPayment Services RegulationPayment SystemsCash UsageCashless PaymentsDigital Payment AdoptionDigital Payment ChannelsPayment Delivery SystemsPrepaid Payment InstrumentsTransactionsTransparency
The RBI and the Government are actively promoting digital payment devices, prepaid instruments, and cards to reduce cash usage in the economy. RBI’s initiative to encourage these new payment and settlement facilities is intended to create a “less cash” society. The move toward cashless transactions, prompted by limited cash and an impending crunch, is accelerating adoption, enhancing transparency, scalability, and accountability, and driving more merchants to accept digital money, indicating that cash may no longer dominate.
The RBI and the Government are making several efforts to reduce the use of cash in the economy by promoting the digital/payment devices including prepaid instruments and cards. RBI’s effort to encourage these new varieties of payment and settlement facilities aims to achieve the goal of a ‘less cash’ society. With limited cash in hand and an indefinite crunch in sight, most people are rushing to cashless transactions. Digital transactions bring in better transparency, scalability and accountability. The new move will compel more merchants to accept digital money. Cash may no longer be king.