While the government is looking to stir-up the cashless economy, recent numbers from consumer research firm PRICE show that India has a long way to go. Analysis of the household survey data from 2015-16 shows that of the total households only 22% were connected. Even of these the connectivity in rural areas was just 16%, not even half of that of urban areas at 35%. But the really surprising data point is that even the top 1% of the population had only 61% of the households connected.
Moreover, another set of data shows that of the R65,686 billion spent on expenditure around 90% of the transactions were in cash, with only 10% of the population opting for non-cash use. For a country, where there is no infrastructure and people still feel more comfortable transacting in cash—68% said that it was more convenient as against 47% claiming the same for cards and wallets—the transition may not be as easy as the government is holding it out to be.