Going cashless

THE global experience shows that a cashless economy, where digital payments are the norm, may offer numerous economic benefits: increased convenience for consumers and businesses, greater transparency in financial transactions, enhanced security against fraud and theft, improved economic documentation, wider financial inclusion, lower tax evasion, etc. No wonder the world is moving fast towards a cash-free, contactless economy due to its advantages. The migration to a cash-free economy has picked up pace worldwide since the Covid pandemic. Seen in this context, the finance minister’s push for a cashless economy must be supported. A media report quotes him as saying that “moving towards a cashless economy is not simply a policy aspiration but a practical necessity for long-term fiscal resilience, competitiveness and inclusive growth”.