Budget 2017 predicts huge benefits for common man from digital revolution

While presenting the Budget in the parliament finance minister Arun Jaitley said India was at the cusp of a massive digital revolution, even as it sets up a mission to target 2,500 crore digital transactions for 2017-18 through UPI, USSD, Aadhar Pay, IMPS and debit cards.

"A shift to digital platform has huge benefits to the common man. Earlier steps were precursors to the government's current push for digital transaction. There has been an increase in digital transaction after the launch of Bhim app," he said.

Jaitely added, "The Bhim app which was launched recently will unleash the power of mobile phones for digital payments and financial enclosures. 125,00,000 people have adopted the Bhim app so far. The government will launch two new schemes to promote Bhim app these are referral bonus schemes for individuals and a cash back scheme for merchants."

Speaking about the app, Saket Modi, CEO & Co-founder, Lucideus said, "The government is pushing the adoption of BHIM app, which is by far a more secure method of making digital payments by bringing in new scheme mechanisms."

Stressing on the importance of Aadhaar payments Jaitley said it will be beneficial to those who do not have debit cards, mobile wallets or mobile phones. 2,500 crore digital transactions for 2017-18 through UPI, UNP, Aadhaar Pay, IMPS, debit cards is also planned. Banks will be encouraged to introduce 20 lakh Aadhaar based POS by September 2017.

"Aadhar pay for merchants is also a welcome move. The budget has laid down clear focus areas and digital being one of the key focus excites us and is a positive move," said Modi.

Other takeaways from the Budget
A proposal to mandate all Government receipts through digital means, beyond a prescribed limit, is under consideration.

Banks have targeted to introduce additional 10 lakh new POS terminals by March 2017. They will be encouraged to introduce 20 lakh Aadhar based POS by September 2017.

The government has proposed to create a Payments Regulatory Board in the Reserve Bank of India by replacing the existing Board for Regulation and Supervision of Payment and Settlement Systems.

Digitising rural India
The Centre's aim is to push digital transactions into rural India and by end of 2017-18, the Budget proposes high-speed broadband connectivity on optical fibre to be available in more than 1,50,000 gram panchayats, under BharatNet. A DigiGaon initiative will be launched to provide tele-medicine, education and skills through digital technology.

Speaking about the Budget, Amit Nath, Head of Asia Pacific, Corporate Business at F-Secure, said, "The Budget is at par with our expectations. We welcome the move by the finance minister meant to strengthen the digital infrastructure in rural India by allocating Rs 10,000 crore for Bharat Net Project. This will empower over 150,000 gram panchayats with high-speed internet and Wi-Fi hotspots. While this sets the right impetus for rural India to come online, the government has further taken the steps necessary to ensure optimum level of cybersecurity."

With so much emphasis on digital and a sizeable amount of transaction moving online, the Budget talks about creating a Computer Emergency Response Team for our Financial Sector (CERT-Fin). Nath said, "We especially appreciate the Computer Emergency Response Team to be setup post the budget announcement and dedicatedly monitor cyber hacks, ensuring the security and integrity of online data. The synergy created by these announcements, along with the efforts of cyber security solutions is going to further inspire new users to come online, aiding India's transition to a digital economy."