Cashless transactions – A Boon to Education Sector
In an attempt to curb corruption and to wipe out black money, Indian Prime Minister Narendra Modi announced on 8th November 2016 that 500 and 1000 Rupee notes will not remain a legal tender from the very midnight. This demonetization has created a series of ripples across various sectors in the country. The front pages of almost all the newspapers are consistently highlighting reverberations of demonetization process and its pros and cons. India is largely known to be a cash economy. Cash transactions in the country are far more than the number of electronic transactions. That is the reason why disruption of facilitation of transactions is felt at all levels. It is a lay man who has suffered most for last more than two weeks. But we should look at the bigger picture in the larger interest of the society and hope that long term effects of this move will be beneficial to all.
Just look at the education sector. With a globalization and decentralization process in the 90s not just a manufacturing sector, but service industry as well got an impetus. Indian economy flourished like never before and practically every sector saw a steady rise. Apart from government education institutes, the number of private institutes grew during last couple of decades.
With literacy increasing and more and more avenues being opened by higher education sector, education now is being considered as a never failing business. Along with the academic growth the institutes are inclined to manage their operations in line with the digital era. The admission and examination processes that were too hectic and complicated earlier are now completely stress free, thanks to technology. There are no longer tiring, time consuming long queues to pay the fees and secure the admission. Online payment process which is absolutely cashless has saved the precious time of parents, students and academic staff as well. The recent demonetization has strengthened the same process. Moreover it has helped excluding all kinds of illegalities in the admission process and has fostered transparency.
Cashless transactions initiated by demonetization are in a way boon to all educational institutes because they save time, efforts and complexities in the traditional admission process.
Not only that, in tune with the digital initiative of the Government of India, the online payment process helps to prepare online reports and analytics within a few seconds that otherwise consumes couple of hours. It is possible to complete all such procedures without human interference and without any scope for illegal practices. This will automatically reduce the black money.
Though common man has faced several constraints due to recent demonetization, all of us and especially the education sector should look at this move as an opportunity for going digital. Cashless transactions in education sector will no doubt help retain the existing students and attract the prospective ones since they assure security and accuracy. So why not grab the opportunity and opt for cashless online payments?
- Concept of Donations or Capitation Fee can be reduced
- Management Quota Seat / Back channel Admission Process can be reduced with transparent electronic payments
- Education Process may get simpler
- Overall Education cost may come down due to electronic payment mode
- Education Institutes can digitize various processes to save cost of administration.