Wednesday, June 28, 2017

Advantages of cashless economy


The advantages to citizens of a country in a Cashless Economy are:

  1. Risk of loss of cash while carrying is avoided
  2. Facilitate exact payment and reduce transaction costs
  3. Convenience in payment and management of utility bills, purchases and other financial transactions.
  4. It helps to authenticate financial transactions and maintain proper record facilitating better tax compliance and increasing tax base.
  5. Digital payments indirectly reduces expenditure by reducing need for printing of currency notes and its transportation
  6. Electronic transactions helps in curbing corruption and black money flow, thereby helping in economic growth of the country
  7. Lesser use of cash prevents money laundering and better tax compliance
  8. Increased tax base would result in greater revenue for public welfare activities
  9. Chances of avoiding long queues when there are chances to pay digital money through phones.