Insta
As India Decisively Shifts Towards Digital, ATMs May Become A Relic Of The Past
A bank customers withdraws cash from an ATM. (ARUN SANKAR/AFP/GettyImages)
More than nine months after demonetisation of high-value currency notes, the business and use of automated teller machines (ATMs), once thought to be a vital component of the banking industry, is plateauing.
According to a recent Economic Times report, the number of debit card transactions on ATMs has slumped to around 660 million a month from over 750 million before demonetisation. The number of ATMs, the report says, is stagnating around 2 lakh and shown hardly any growth in the past six months.
The report also added that only three out of around eight non-banking institutions deploying ATMs have put up a reasonable number of machines.
Among the most import reason for this emerging trend is the widening reach of smartphones and point-of-sale (PoS) terminals, which is making cash less relevant.
Credit and debit card transactions on PoS terminals have ‘increased stupendously’ latest Ecoflash report released by the State Bank Of India had pointed. The report says demonetisation has pushed the country at least three years ahead in the realm of digital payments in just seven months.
From 1.5 million PoS terminals in June, the number has jumped to to 2.7 million in June. Mobile banking transactions surged to 390 million in 2015-16 from 53 million in 2012-13, the report says.
Introducing ElectionsHQ + 50 Ground Reports Project
The 2024 elections might seem easy to guess, but there are some important questions that shouldn't be missed.
Do freebies still sway voters? Do people prioritise infrastructure when voting? How will Punjab vote?
The answers to these questions provide great insights into where we, as a country, are headed in the years to come.
Swarajya is starting a project with an aim to do 50 solid ground stories and a smart commentary service on WhatsApp, a one-of-a-kind. We'd love your support during this election season.
Click below to contribute.
Latest
