Sunday, 22 January 2017

UIDAI for Incentives to Merchants Using Aadhaar Payment System

In a bid to push Aadhaar-based payment system, particularly in rural pockets, UIDAI has favoured "incentives" for shopkeepers victimization the biometric mode for digital transactions, in line with commission given by banks to Business Correspondents.

"If a merchandiser is victimization Aadhaar-enabled payment systems then he ought to be place at par with Business Correspondent and no matter facility and commission is accessible to the Business Correspondent, he ought to be paid on a similar lines," Ajay Bhushan Pandey, corporate executive of UIDAI, told PTI.

The distinctive Identification Authority of Asian nation (UIDAI) is that the nodal body liable for rolling out the Aadhaar programme within the country.

"We area unit voice communication where you are doing not have business corespondents, supposing a merchandiser is in a position to facilitate payment directly from the Aadhaar-linked checking account, then there needs to be a system during which the merchandiser ought to get the motivation," he said. Doing this may be a win-win for banks too, Pandey aforesaid.

"It is useful for banks conjointly, as a result of banks don't have to be compelled to pass on that a lot of money to the Business is a win-win scenario," he added.

Pandey aforesaid that incentivising shopkeepers World Health Organization adopt the biometric payment system would conjointly "remove an additional layer" as shoppers these days approach banks, ATMs or business correspondents for withdrawl of cash to buy things like ration.

"Once this incentive is given, it'll provides a solid push to digital payment notably to those sections World Health Organization don't have access to cards, smartphones, or web banking. This section of the society are going to be best dealt, during this manner," he said.

Noting the present incentive for Business Correspondent is up to at least one per cent of the group action price subject to cap of Rs. 15, Pandey aforesaid wherever incentivising merchants worries banks may fix the modalities reckoning on group action volumes.

"So so much because the banks area unit involved nothing is dynamic ... the banks were paying this sort of commission to the Business Correspondents and that they can still pay at similar levels," he found out.

Pandey aforesaid that discussion to the present impact is on with all major banks. "They also are evaluating. They conjointly ought to take a thought-about call. this is often the start it'll take your time," he said.

Aadhaar-based payment system is presently getting used by one,10,000 business correspondents for disbursing money, and is additionally being utilized in Common Service Centres to acquire varied services.

Digital payment channels like mobile wallets, USSD and RuPay have seen large uptake and rise in transactions post termination on Nov eight. Even just in case of Aadhaar-enabled payment system, the degree of transactions have jumped a pair of.5 times post termination from half dozen 100000 each day before Nov to fifteen 100000 transactions per day at the present.