Currency with public rises 22.5% YoY to Rs 26.09 trillion as on Oct 9

Latest data showed that in the first 15 days of October, UPI transactions crossed 1 billion, experts say in the festive season this could breach 2 billion

Currency with the public rose 22.5 per cent year-on-year as on October 9, as people kept cash with them during the pandemic period, despite a rise in digital payments.

The YoY rise in currency with the public a year ago was 13.5 per cent, which has generally been the trend for a few years, except for election period.

The total currency with the public as on October 9 was Rs 26.09 trillion, against Rs 23.5 trillion at the end of March 31, indicating the general public withdrew an additional Rs 2.6 trillion since the nationwide lockdown began at the end of March. In the fortnight to October 9, currency with the public increased 0.9 per cent, or by Rs 23,959 crore, data released by the Reserve Bank of India (RBI) showed.

Latest data showed that in the first 15 days of October, UPI transactions crossed 1 billion mark, and experts say in the festive season this could breach 2 billion. Yet, people’s preference for cash remain unabated as in tier-II and below cities festive demand is still met by cash, as local shop vendors do not want to adopt digital mode of payments, largely to dodge taxes.