NEW DELHI: High cost of digital transactions, lack of coordination between the Centre and states and quality of telecom coverage, including network and inadequate infrastructure, are some of the roadblocks to rapid digitisation, a parliamentary panel has said, in context of the Prime Minister’s push for a less-cash economy post demonetisation.
According to the parliamentary standing committee on finance, which presented its report on Wednesday, the high cost of digital transactions is one of the major blocks in the way of masses adopting this mode. “As many as 175 million urban and 750 million rural users are still to be connected,” said the report.
Noting that the process of digitisation peaked post demonetisation, the panel, headed by Congress Lok Sabha member M Veerappa Moily, said that as remonetisation took apace, the initial trend tapered off.
Sounding a note of caution in the backdrop of people having to stand in long queues outside banks and ATMs post demonetisation, the panel said digitisation should be incentivised and not pushed in a coercive manner by rendering ATMs non-functional and causing needless inconvenience to the common people.
In order to smoothen the process, the panel has suggested creation of an empowered coordinating authority on a par with the Atomic Energy Department and reporting directly to PMO.
Expressing its concern on rising cyber challenges, both nationally and globally, the panel mentioned that lack of trained professionals to deal with complex situations was a major constraint. It asked the government to bring a legislation in Parliament to ensure protection of public and private data.
The panel asked the ministry of information technology to address the issue pro-actively.