India has been known for its development in cashless transactions. Since the demonetisation phase of 2016, UPI transactions have grown at an exponential rate. The efforts of the central government to establish a smooth and user-friendly cashless system have proven fruitful.
The incentive scheme, which is worth about Rs. 2600 crores has been invested to promote the Rupay debit cards and BHIM UPI. The decision was approved on Wednesday by the Cabinet Committee on Economic Affairs (CCEA), headed by the honorable Prime Minister Narendra Modi. As we know, the Financial Minister of India, Nirmala Sitharaman, focuses on the idea of shifting the use of VISA and Mastercard debit cards into Rupay debit cards in the country. With the collaboration of the Reserve Bank of India (RBI), the growth in the transactions of Rupay and UPI payments has increased exponentially.
In India, the changes in the mode of payment have been enormous in the last five years. In December, the records were broken with a total of 782.9 crores in transactions, amounting to Rs. 12.82 lakh crores.
In the present-day scenario, most of the population in the country cannot imagine a world without UPI payments. Because of their popularity, payment apps such as Google Pay, PhonePe, and Paytm have become household names. Moreover, every single shop has already made sure that it provides the scanner for the UPI payment.
It is a source of pride that the country has managed to become one of the leading countries to use cashless transactions through UPI payments. This has been made possible by the efforts of the financial department at the central government. The incentive programs include providing financial incentives for promoting point of sale and e-commerce transactions using RuPay and UPI in the current financial year.