NITI Aayog wants more push to digital signatures for industry use
"For savings accounts the limit is Rs 1 lakh and I believe that should be increased to Rs 10 lakh and that for loan accounts should be increased to Rs 6 lakh from Rs 60,000 currently."
Kant while addressing a conference on paperless banking organised by BankBazaar in Mumbai, said that there is a need to increase the limits on Aadhaar enabled OTP based authentication for different types of account opening.
"For savings accounts the limit is Rs 1 lakh and I believe that should be increased to Rs 10 lakh and that for loan accounts should be increased to Rs 6 lakh from Rs 60,000 currently," said Kant. "It should be also allowed for disbursal of credit cards."
Kant added that removal of paper based authentication would also help in reducing non performing assets for banks as in case of digital authentication there is no chance of forged documentations.
"There is a need to push for wider acceptance of digital signatures in the industry and acceptance of OTP based eKYC," he said.
He even urged the requirement of important players in the administration like the Indian courts to recognise digital signatures.
Highlighting the achievements of the government in promoting digital payments and digital transactions Kant spoke about Aadhaar based payments being promoted in rural areas, smartphone based payments through Unified Payments Interface and a sudden spurt of Point of Sales terminals for card payments.
"We have seen 99% Aadhaar penetration in the market coupled with more than 21 crore bank accounts opened under the Jan Dhan Scheme and PoS has grown by 83% over the last one year, these are impressive growth numbers," said Kant.
Even Aadhaar seeding of bank accounts have gone up to 70% and mobile seeding with bank accounts has also reached around 73% he said citing June figures.
Finally taking the instance of technology startups having the potential to completely disrupt the financial landscape of the country, Kant said that there are around 900 fintech startups doing successful business in India and they have to play a vital role to utilise the India Stack structure set up by the government to take finance to the underbanked population of the country.