2. CASHLESS ECONOMY
Cashless Economy can be defined as a situation in which the flow of
cash within an economy is non-existent and all transactions must be
through electronic channels.
Types of Cashless Modes and Payments:
• Mobile wallet
• Plastic money
• Net banking
3. Research Methodology
• To find out the level of adoption of digital payment solutions and
user habits, a survey was conducted from 10th to 25th February
2017.
• The survey is based on responses from 50 people based in Mumbai
from different professions, viz. 30 students, 5 retailers and 15
unemployed individuals. The 5 retailers were owners of small
scale shops and 15 unemployed individuals consisted of home-
makers and senior citizens. There is no specific age group taken
into account.
11. CONCLUSION
• For high value transactions, 96% of respondents selected cashless payment
system. This shows that people are ready for digital payment but still
preferring cash payment system.
• A cashless economy cannot be powered by 2G connections.
• People are not completely aware of all the necessary guidelines to be
undertaken to secure their card and account details from fraudsters.
• People don't trust the cashless transactions because there is no law.
• Indian retailers are not interested in digitizing the payment system.
12. RECOMMENDATIONS
• Availability of internet connection and financial literacy.
• India is dominated by small retailers. Providing resources to invest in
electronic payment infrastructure.
• The perception of consumers also sometimes acts a barrier.
• Making non-users of credit cards aware of the benefits of credit cards.
• Promoting mobile wallets.
• Abolishment of government fees on credit card transactions; reduction of
interchange fee on card transactions; increase in taxes on ATM withdrawals.
• Making Electronic payment infrastructure completely safe and secure.
• Tax rebates for consumers and for merchants who adopt electronic payments.
