Steering India towards a cashless economy

Varsha SutraveHead – Partnerships and Alliances

UnoPay

233 million Indians have never seen a bank

zerObalance accounts

Only 1% India’s total purchases through credit cards

95% cash economy

97.5% corporates have lowest visibility of cash position

480 man hours/week wasted in cash assessment

Send/Receive money-Phone number-An Adhaar number-Simple virtual-payments address

India stack-APIs-Interfaces

Save on Cost of Cash-Capitalize on dead cash-Loss of physical money

“The 2016 Global Payments Insight Survey: Merchants and Retailers”

A survey of more than 1000 retailers, revealed that merchants, billing organizations, retail banks and transaction banks are all committing significant

investment to payment over the next 18-24 months.

The move to ‘less cash’ has already started.

The smartphone—already a Swiss-army knife of information, content and entertainment—is rapidly

becoming a convenient medium for making payments.

What makes mobile more powerful than any other medium?

It provides the opportunity for:bi-directional, real-time, interactive relationship

with end users

Means to achieve cashless economy

Mobile Internet & Connectivity

New-age payment devices

Security Infrastructur

e

Consumers want personalized experiences, but their privacy & security concerns are higher than ever.

“We want our money safer than our selfies“– PayPal

“Technology has a multiplier effect for solving social problems”

Tarun KhannaHarvard Professor and Chairman, Expert Committee on Innovation and

Entrepreneurship, Govt of India.

Aadhaar reached its milestone of registering 1 billion people.

80% of population covered

Barriers & Catalysts in the Payments ecosystem

Barrier #1Tax evasion opportunities ensure cash is sticky

CatalystsDisincentives for tax evasion:

Use of cash for large transaction is the rational choice. Costs of non-compliance have to be greater.

Barrier #2Majority of wage earners receive cash payments

that never enter the electronic payments ecosystem.

Abhishant Pant’s 50 day cashless journey

Catalysts• United Payments Interface• Receiving & Withdrawal is done… Spending yet to take

shape

Barrier #3No clear roadmap for moving towards market

determined charges & investments.

Catalysts• New bank licensees and well funded fintechs will ensure

price wars, at least in the short run. • Map incumbents and disrupters• Creative business & revenue models

Barrier #4Non-interoperable systems could increase resistance among consumers.

Lets rethink payments in every sector!

Hospitals

Tolls, Petrol stations

Utilities

Schools, Colleges, Institutions

Travel sector

Kiranas

Public transport

Insight #1The less information the consumer has to manually enter, the better the adoption

rate.

Insight #2 High demand in the B2B space, however current

regulations and market dynamics play spoil sport.

Insight #3Cost is too high for small ticket transactions.

Insight #4 Consumer’s expectation that - they can get what they want with ease and speed will continue to

rise.

Insight #5  We need Regular and faster settlement:

Insight #6Alliances and meaningful partnerships.

India needs to build bridges between startups, corporates and governments to accelerate the

benefits of entrepreneurship and generate more leapfrog effects.

Let’s craft a renaissance in the Indian payments space

…because a billion lives will thrive !

Thank you

varsha@techjini.comLinkedIn: @varshasutrave