Wednesday, May 19, 2021

Mr. Yogendra Kashyap, MD & CEO, RapiPay Fintech Pvt Ltd quote on how the cash out business has performed since April.

“We have seen an upward trend in Cash Out (AEPS and Micro ATM transactions) as people are withdrawing more cash from their neighbouring store or Banking Correspondent. The contribution of cash out transactions to overall business has increased from 31% in March'21 to 47% so far in May '21 (upto May 16). Also, the average ticket size of AEPS transaction has increased from Rs 2500 to 2900 and MATM has increased from Rs 3500 to Rs 3700. Even though people have started using digital payment as a mode for transaction the second wave of the pandemic has again caused some uncertainties and they are preferring to hold on to cash in time of crisis.

Some of the reasons for increase in cash out transactions during the second wave are that people are unable to travel to a conventional ATM machine or bank because of lockdown, people needing immediate cash for medicines or doctor consultation. Also, another reason for the increase in cash payouts in the rural areas is the number of people registering for jobs under MGNREGS has increased to 40 million in April from 36 million in March and the recent Kisan Samman Nidhi subsidy in which around Rs 20,000 crore has been credited to around 9.5 crore farmers.” 

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