Better Than Cash Alliance suggests ten measures countries to embrace for digital payments

McKinsey Global Institute also found that digital finance could lead to a USD 3.7 trillion GDP rise by 2025, create 95 million new jobs across all sectors, and save USD 110 billion annually in leakages in emerging countries.

India saves USD 2 billion every year by digitising fuel subsidies also reducing payment leakages, Tanzania digitises port business-to-government payments trimming USD 175 million in annual revenue leakages and having the potential to boost GDP by up to USD 1.8 billion, Brazil saved over 30% in transaction costs in government to people disbursements. As of result of installing 20.000 point-of-sale devices, Mexico experienced a 17% growth rate in this type of transactions between 2014 and 2015.

Countries can accelerate their initiatives to save money, raise tax revenue, and increase opportunities for their citizens by the 10 accelerators, as follows:

1. Promote merchant acceptance infrastructure across micro, small, and medium enterprises to deepen usage among consumers and larger payers alike. 2. Leverage existing networks or platforms to deliver digital payment products and services to extend digital payment services more quickly and in a way that lowers the cost.

3. Establish a shared digital infrastructure for players to reduce barriers to entry and promote innovation, both in public and private institutions. 4. Establish interoperability to reduce barriers that confine digital transaction to a single payment platform to increase adoption and payments acceptance.

5. Develop a unique identification program that both public and private sector players can access to verify identities can drive digital payments and financial inclusion. Consumer protection frameworks are essential to ensure adequate privacy, security, and data control. 6. Digitise routine use cases that individuals frequently use for transactions can increase comfort with digital payments and increase digital transaction volumes.

7. Digitise government payments to advance a digital payments ecosystem by saving transaction costs and increasing civilian access to payments. 8. Digitise government receipts to promote comfort with digital payments among individuals and businesses, and ultimately reduces leakages and boosts revenues. Collaboration with private sector is key.

9. Establish regulation that promotes innovation and responsible practices, by understanding the gaps and barriers of existing regulation, and engaging all stakeholders. 10. Implement policies that incentivise and improve the convenience of digital payments to drive faster and more widespread access and adoption of digital payments.