The demonetisation step that was announced by the government on November 8, will raise the digitisation of the financial economy and financial inclusion, Nandan Nilekani, former Chairman of the Unique Identification Authority of India has said today. The former Infosys chief executive said that the shock given to the system will accelerate the digitisation of the financial economy, he added.
Nilekani further said that the “pain” by the ban on high-valued notes of Rs 500 and Rs 1,000 will continue for some time, but the extent of digitisation that will now happen in next three months now, would have taken place in a three-year time, a TOI report has quoted him as saying. He also said that the time has come to make payments to merchants cashless and the infrastructure required for this change was already in place.
Smartphone users can use the Unified Payment Interface (USP) to make online transactions. Feature phone users can also use the UPI on Unstructured Supplementary Service Data technology. And those who don’t have these phones need only to use their Aadhar cards to make payments at micro-ATMs, Nilekani added.
Expressing hope that the Centre would increase the number of micro-ATMs in the country , he said that cashless transactions will remove bureaucracy from the nation. When asked by the paper as to whether the NDA Government had borrowed his (Aadhar) legacy and pushed it as its own, Nilekani said that his loyalty was only to aadhar and for him, success of the project was more important.