Budget 2021-22:To promote digital payments in India, Sitharaman has proposed a Rs 1,500 crore-scheme, which will be marked as financial incentives.
Union Budget 2021: A push towards a cash-free economy has been announced by the Finance Minister Nirmala Sitharaman. To promote digital payments in India, Sitharaman has proposed a Rs 1,500 crore-scheme, which will be marked as financial incentives. According to the minister, there has been a significant increase in digital payments made in the recent past and the scheme will boost the transactions going forward.
“To give a further boost to digital transactions, I earmark Rs 1,500 crore for a proposed scheme that will provide financial incentive to promote digital mode of payment,” Sitharaman said during the Budget presentation.
According to a report by RBI, growth in digital payments has been quite rapid with 43 per cent compounded annual growth rate (CAGR) in the last ten years. The report highlighted that 498 crore transactions accounting for Rs 96 lakh crore were recorded in FY 2010-11. This has now grown to 1623 crore transactions having a value of Rs 3,435 lakh crore in FY20. RBI said that people have accepted digital payments and this growth has been exponential over the years.