India can save up to Rs 70,000 crore in the next five years by taking measures to reduce cash handling by widening digital transactions base, global payments gateway Visa said today.

The Indian economy has a high cost of cash because of significant cost of time, effort and resources, operating and maintaining cash infrastructure, high cost of cash withdrawals, moving and managing cost, Visa said.

Our analysis suggests that implementation of the proposed measures by the government and banks would increase the numbers of acceptance points three-fold to about 4 million from 1.3 million today and add about 40.9 million households to the financial system.

“These actions would enable India to significantly increase the adoption of digital payments. Further it could result in savings of about Rs 70,000 crores (USD 10.4 billion) over the next five years,” Visa study on ‘Accelerat ..