NITI Aayog and Mastercard release report titled 'Connected Commerce: Creating a Roadmap for a Digitally Inclusive Bharat'

NITI Aayog and Mastercard have released a report titled 'Connected Commerce: Creating a Roadmap for a Digitally Inclusive Bharat'. The report identifies challenges in accelerating digital financial inclusion in India and provides recommendations for making digital services accessible to its 1.3 billion citizens.

NITI Aayog in a tweet said, "With the impact of #COVID19, financial inclusion is a bigger need than ever before. The report by @Mastercard & #NITIAayog provides perspectives on how connected commerce can help businesses & the role of #digital payments in inspiring trust & safety."

The key recommendations in the report include strengthening the payment infrastructure to promote a level playing field for Non-Banking Financial Companies (NBFCs) and banks and digitizing registration and compliance processes and diversifying credit sources to enable growth opportunities for Micro, Small and Medium Enterprises. It also includes building information-sharing systems and ensuring that online digital commerce platforms carry warnings to consumers about the risk of frauds.

Releasing the report, Dr Rajiv Kumar, Vice Chairman, NITI Aayog, said, technology has been transformational, providing greater and easier access to financial services. He said, India is seeing increasing digitization of financial services, with consumers shifting from cash to cards, wallets, apps, and UPI. UPI transactions reached Rs 3.3 trillion in September 2020, growing at nearly 100% y/y. He said, this report looks at some key sectors and areas that need digital disruptions to bring financial services to everyone.

Amitabh Kant, CEO, NITI Aayog, said, Digital technology will be the backbone of the economy, going forward. Both products and services - be it in retail, health, education, or financial services - will increasingly have a digital as well a physical aspect. He added India is emerging as the hub of digital financial services globally, with solutions like UPI growing tremendously and being hailed as instrumental in bringing affordable digital payment solutions to the last mile. Fintech players, alongside the conventional financial services providers, hold the key to transforming the way the economy functions and increasing access to credit for our industry. This will enable us to make the Indian digital financial landscape convenient, safe, and accessible to all.