Aadhaar Payments Rise From The Ashes: 22 Cr Transactions Done, 6.6 Cr In July Itself
The rate at which people have preferred paying through the Aadhaar enabled payments system has soared, as announced by NPCI. In the month of July, the number of transactions done by the AePS went as high as 200 million, and all of them were an absolute success.
The Government is striving hard to make India go cashless, for which a number of payment modes were promoted, of which AePS was one. 200 million of successful transactions, after a period of bad luck, is definitely a piece of positive news for the Government’s initiative.
The Aadhaar Enabled Payment System Crosses 20 Million Mark – A Significant Achievement
The National Payments Corporation of India (NPCI) has said that the Aadhaar enabled payment system has completed over 22 crore successful transactions, and the cumulative transaction amount stands at Rs. 9,685 crores in the month of July alone.
In June, the numbers were 19 crore successful transactions at a transaction value of Rs. 8,867 crores.
Praveena Rai, chief operating officer, NPCI said that reaching this number has noted that such high numbers is a ‘significant achievement’ for the NPCI, and will benefit financial inclusion in India.
She also said that the target of AePS is to include the rural regions of India by granting them some necessary services, such as authentication of customer, availability of services, accessibility through the AePS channel. As the services are free of cost, the NPCI also aims for affordability.
Has The Aadhaar Enabled Payment System Bounced Back From Its Major Issues?
The AePS was launched with the intention to simplify transactions for customers who are not very accustomed to smartphones and other electronics, even cards. The AePS offers five different kinds of services: cash withdrawal, cash deposit, Aadhaar to Aadhaar funds transfer, balance enquiry, gateway authentication service.
However, as per insiders in the industry, the AePS is being used by people who get direct benefit transfers from the government or subsidies as well to withdraw cash.
Unfortunately, the Aadhaar based payment system has suffered a lot of problems, the major issue being the interchange for off-us transactions.
Another colossal issue was raised when the NPCI halted the cash deposit services, since March 2018. Failure of transactions has been another significant issue that the NPCI has identified, in agreement with the committee led by Nandan Nilekani.
The committee has recommended restructuring the platform to offer more services to users.
In spite of these issues, the AePS has marked a massive number of successful transactions, which is definitely commendable.