Digital-first economy? Bank transactions via cheques hit all-time low

Data from RBI shows that value of transactions via cheques as a proportion to the total number of transactions has come down to 3%

With the move to demonetise 87 per cent of commercial notes, the government had aimed to push people’s reliance from cash to electronic modes of payment. While mobile payment apps, e-wallets and netbanking transactions are up on average, the value of transactions through cheques has hit an all-time low.

Data from the Reserve Bank of India (RBI) shows that value of transactions via cheques as a proportion to the total number of transactions has come down to 3 per cent, from nearly 12 per cent in June 2011.

Banks traditionally received a sizeable portion of their fee income from processing cheques, in