In Village Adopted By PM Modi, A Cash Versus Cashless Debate

Jayapur, Uttar Pradesh: In Jayapur, the Uttar Pradesh village adopted by Prime Minister Narendra Modi as the parliamentarian from Varanasi, cash versus cashless is being debated in a line of about 30 people waiting to draw money from an ATM at 9 in the morning.

Cashless is winning here, with most of the queue made up of young people like 21-year-old Bachelor of Science student Rahul Kumar Singh, who said his examinations begin in 10 days  but he needed cash urgently and so had to queue up for two hours.

"I read in the papers that the government says it will push for more machines and cards in the villages. I think it's a good move. This will reduce dependency on cash and that's convenient for all," Mr Singh said.

Most others in queue, some of college students, others who have just started working with private companies, said they agreed that the Modi government's effort to transition to a digital economy by reducing use of cash is a positive development.  

80-year-old Ram Prasad Maurya, also awaiting his turn to draw money from the ATM, was however not that sure. Mr Maurya said his son is serving in the army in Kashmir and left his debit card at home. Mr Maurya urgently needed cash to pay for his grandchildren's school fees but said he did not know how to use the card.

"I am not so sure about this card thing, in fact I don't even understand how it will work. Will my money be safe? Yes, if someone teaches me I guess I will try but then I am very old and there is so much pressure on me anyway," he said.

Prasenjit Shee, 30, bank manager at the Union Bank of India, one of two banks in Jayapur, said his bank was likely to lead Jayapur's digital transition by holding camps to educate people and by installing point of sale or swipe machines in 10 or 12 big shops in the area. He said the pressure is more here since it is PM Modi's model village.

"At the moment I don't want to talk too much about the future but yes, we are proud that in the last month we haven't hung a no-cash board outside our bank for a single day," the bank manager said.

That could well have to do with the village's VIP status, as banks across the country run dry within hours every morning amid a massive cash crunch that has followed PM Modi's ban on 500- and 1,000-rupee notes last month, aimed at unearthing black or undeclared money. The emphasis on digital transactions is the next step in that clean-up and the government has announced several incentives including more swipe machines for villages in the country.  

Jayapur, full of young people, says it is backing its Member of Parliament fully in his effort.