Continuing with an already aggressive push towards making India a digitised, cashless economy, FM Arun Jaitley has now finally announced the launch of the already speculated, ‘Aadhaar Pay’. The system will now let people without debit/credit cards, mobile wallets pay using simply their Aadhar card number
With this launch, Finance Minister also mentioned, that the Government is target as many as 2500 crore digital transactions in 2017 alone, with more aggressive targeting set for next year.
Aadhar Pay, as has been widely discussed already, will allow users to use their biometric identification to pay at various terminals, where an Aadhar PoS machine is installed. Government has already brought in almost all major banks on board, with the rest to come on board soon.
BHIM UPI App is similar to Aadhar Pay Application. In that You need to Link your Registered Mobile Number that is Linked with your Bank Account. So that when Merchant can directly Transfer Money by using that Mobile Number. Similarly in Aadhar Pay app You need to Link your Aadhar card with App and Make Sute to If there any Correction in Aadhar card First Update your Aadhar card details then Link with Aadhar Pay app So that in future no Problem will Introduce. After Linking Aadhar You can Send and Transfer Money Via Both the App.
Talking about the said announcement, Kunal Bahl, Co-Founder and CEO at Snapdeal, says,
We commend the focus on growing the digital footprint in the country – enhancing digital infrastructure, capping cash transactions, reducing cash donations, using Adhaar Pay to enable more digital payments are significant measures. Initiatives make an impact when there is continued attention and the announcement of today builds on the demonetization efforts of last few weeks.
Along with this, there are certain updates coming up to the recently launched BHIM app. The government will launch two new schemes for BHIM usage. FM Arun Jaitley also announced, that a decent 11.25 Million people have already adopted the Bhim App. The BHIM app works through online banking and as such is linked directly to your bank account. Thus many of the issues associated loading money are avoided.
The biggest highlight of this application is the fact that there is no need of Internet connectivity. While smart phone users can download it on Google play store, people with feature phones can access the interface using the USSD service (Unstructured Supplementary Service Data). All you have to do is dial *99#.
Push for Cashless
In the ongoing Budget 2017, FM Arun Jaitley also announced some crucial tax exemptions to manufacturers, who are involved in the manufacturing of cashless transaction devices, like mPoS, Fingerprint scanners etc. The same, according to FM Jaitley, will also help in increasing manufacturing of electrical components within the country.
Commenting on this development, Kuldeep Malik, Country Head (Corporate Sales International), MediaTek India, said,
Post demonetization government seems to be totally convinced towards digital payment adoption. There is one key development towards ‘Digital India’ program, where Government has decided to waive off all duties (SAD/CVD, BCD) levied on mPOS systems.
This in turn will make the POS devices cheaper, leading to greater adoption of such devices even at the grass root level in the coming years and hence helping drive forward the mobile payments ecosystem. Considering the adoption of Aadhar based payment, government has also waived off duties from components such as IRIS scanner and fingerprint readers.
Mobikwik founder and CEO Bipin Preet Singh believes this is a very welcome and right move for the future growth of the economy. The tech-focused progressive Union Budget has been commended by the digital payments giant. Bipin has further also added,
Upgrading digital infrastructure to support cashless transactions in rural and semi-urban areas will encourage more merchants and consumers to transact on non-cash and online platforms.
However, we feel that the government must have also considered promoting startups in the digital payments and digital security areas. Secure digital transactions is the only way to sustain India’s habit of cashless payments.