An Analysis of Growth of Cashless Transactions in India

The Government of India has launched Digital India campaign to make available the services of Government through internet. The objective of the study is to analyse the Growth and Forecast the trend of cashless transactions and also analyse the Growth performance of modes of cashless transactions in India. The analysis was based on secondary data and tools like AGR, CAGR and Trend Analysis to evaluate growth and trend. Hence, the study indicates that the Development of technology for cashless transactions in India has improved and it tends to achieve the motive of cashless India.


Introduction
Demonetisation has paved a way for creating Cashless Economy in India. The base for digital world is Technological advancement. In Digital World, the day-to-day operation of an individual is simplified. The Government of India has launched Digital India campaign in the year 2015to make available the services of Government through internet. Digital India initiative is available at any electronic device with secured internet and can be accessed at anytime and anywhere. The main objective of Digital India is to provide High-speed internet even in rural areas and to improve digital literacy. Cashless transaction is the way of buying and selling of Goods  The negative impacts of cashless transactions in India: 1. Security of an individual's data still remains a question. 2. People with low standard of living have limited access to electronic devices. 3. Skilled workers in the field of digital technology are low. 4. Cost of developing infrastructure will be high.

Review of Literature
Angamuthu (2020) made an analytical study which focuses on Growth of digital payment with respect to its volume and value of transactions during the study period 2012 -13 to 2018 -19. Hence the study concludes that the country is expected to generated 28,000 lakh transactions exceeding INR 15,20,000 billion in digital transactions in 2020 -2021.
Ayushi Rastogi and Madhavi Damle (2020) conducted a study on Trends in the Growth Pattern of Digital Payment Modes in India after Demonetization. The main findings of the research would provide practical insight into the Fintech, Banks, economists, and decision-makers in this sector regarding the adoption and growth of digital payments in India.
Harshal Anil Salunkhe et al., (2019) analysed the impact of the digital payment system over the banking transactions in India and found out that the financial transaction has been increasing due to digital payment system in India. Shipra Gupta and Rupa Khanna (2019) examine the modes of cashless payment. This is a descriptive study. The study found out that there are both positive and negative impacts on people due to cashless payments.
Ashish Baghla (2018) examines the reasons for adoption of digital payments by people in India. The study is based on primary data. The study concludes that it will take enough time to become a completely cashless Indian economy.

Statement of Problem
The main vision of cashless transactions is to provide facility of seamless digital payment to all citizens of India in a convenient, easy, affordable, quicker and secured manner. The first and foremost significance of the study is that the nature and growth rate of cashless transactions can be identified along with the trend. Hence the study.

To analyse the Growth of cashless transactions
in India. 2. To analyse the growth performance of different mode of cashless transactions in India.

To forecast the trends of cashless transactions in
India.

Research Methodology
The study is analytical in nature and based on secondary data, from the reports of RBI. Annual Growth Rate (AGR), Compound Annual Growth Rate (CAGR) and Trend Analysis.

Limitations of the Study
The study is confined to the period of ten years, Hence the study is based on secondary data and it has own limitations.   (-21.28%) whereas, NEFT recorded only positive growth. Credit and Debit card has recorded positive growth rate except over the year 2020-21 (-13.74%) and (-17.66%) respectively. Among the various modes of cashless payments, both NEFT and Debit card have the highest growth rate as compared to other mode of cashless payments during the study period.

Figure -1 Digital Transaction in India Conclusion
Cashless transaction system is the connective tissue of every economic system. It facilitates purchase and sale of goods and services via internet. The overall cashless transactions in India were recorded significant growth in both Annual Growth Rate and Compound Annual Growth Rate of 23.27 percent and -86.71 percent respectively. CAGR has registered increasing at diminishing rate. The mode of cashless transactions including RTGS, NEFT, Debit Card and Credit Card were highly remarkable during the study. Both the transactions on NEFT and Debit card has boosted in India. The analysis revealed that the overall cashless transactions in India has positive trend over study period. Hence, the study indicates that the development of technology for cashless transactions in India had improved and it tends to achieve the motive of cashless India.