Discounts on digital payments of toll, petrol, insurance: Jaitley

Key Highlights:

Government will offer 0.75% discount on digital payments made at petrol pumps.

Monthly & seasonal tickets booked digitally will be given 0.5% discount.

10% discount at toll plazas for those paying via Fast Tags and RFID cards.

Finance Minister, Arun Jaitley at an event in New Delhi on Thursday offered a whole host of discounts to people who pay via digital transactions.

Jaitley said that those paying with virtual money or digitally for suburban rail tickets will get a 0.5% discount, along with online rail ticket bookings from January 1, 2017.

"All railway passengers buying online ticket shall be given free accidental insurance cover of upto Rs. 10 lakh," Jaitley said. 

Monthly, seasonal suburban railway tickets purchased through digital mode to get 0.5 % discount: FM @arunjaitley #LessCashEconomy pic.twitter.com/Rg5udYXG8N

— Doordarshan News (@DDNewsLive) December 8, 2016

Payments through digital mode for railways catering, accommodation, retiring room to get 5 % discount: FM @arunjaitley#LessCashEconomy pic.twitter.com/TDnfyGeelZ

— Doordarshan News (@DDNewsLive) December 8, 2016

Online insurance premium payment to state companies will also be provided with a discount, Jaitley added.

Toll payments that will be made via the digital mode can also look forward to a 10% discount, the Finance Minister added.

Dealing with cash has economic as well as in-built cost in a democratic set-up: Finance Minister @arunjaitley #LessCashEconomy pic.twitter.com/8eOlmQ0TgW

— Doordarshan News (@DDNewsLive) December 8, 2016

In order to promote digital payments and substitute cash with digital payments Jaitley said that government along with banks are trying to push digital payments and noticeable changes are being observed in consumer behaviour with regard to e-payments.

Nearly 40% payments at fuel outlets were switched over to digital payments, Jaitley said.

Jaitley announced that the government will also provide a 0.75% discount to those paying digitally at petrol pumps.

Speaking on the effort to demonetise higher denomination, Jaitley said that the government is distributing cash as per predetermined plan.

Jaitley said that India wants to fasten the switch over to digital payments.

Jaitley said, "The Central Government through NABARD will also support Rural Regional Banks and Cooperative Banks to issue “Rupay Kisan Cards” to 4.32 crore Kisan Credit Card holders to enable them to make digital transactions at POS machines/Micro ATMs/ATMs."

"To expand digital payment infrastructure in rural areas, the Central Government through NABARD will extend financial support to eligible banks for deployment of 2 POS devices each in 1 Lakh villages with population of less than 10,000.  These POS machines are intended to be deployed at primary cooperative societies/milk societies/agricultural input dealers to facilitate agri-related transactions through digital means," Jaitley added.