It is not just traders and the opposition political parties that have been objecting to the haste in the move to make Goa a cashless economy, but now the Bharatiya Janata Party has also joined them. The BJP has asked its own party government to withdraw the circular issued by the Commercial Taxes Department giving traders ten days to install systems to make the transition to a cashless system. A party delegation met the Chief Minister explaining to him that feedback from the markets indicates that traders, especially the small trader, is finding it difficult to make the change from paper money to plastic money or get into online transactions. The party was clear that it is not against the move to introduce cashless transactions in the State, but has sought time to make the transition, time during which traders and customers will be made aware of the importance of the move and how to go about it.
The party’s reasoning cannot be faulted. Cashless transactions are the future and this needs to be promoted, it can’t be imposed. BJP has realized this and gone to the government with its request. The Chief Minister, has now said it is not possible to withdraw the circular, but clarified that it is an appeal to go cashless and there is no deadline.
There, however, is no clarity in the issue, for it’s not just the Commercial Taxes Department that has issued a circular on going cashless. Education Department too has now decided to promote cashless transactions in all institutions that come under it. In a circular, Heads of government, government aided, unaided educational institutions have been requested to instruct teachers, students and parents to ensure cashless transactions for all purposes. Goa Board of Secondary and Higher Secondary Education, and the State Council of Educational Research and Training are also expected to go cashless from the coming year. It is this haste, what a BJP office bearer has called ‘over-enthusiasm’ by government officials ‘without considering the implications’, that is causing much consternation among the people – traders and customers.
Goa is just not prepared for the transition to cashless. It is not just people’s mindsets that have to change but there is need for infrastructure that can handle cashless transactions. Once dependence on cash is reduced, it will be replaced by online transactions, which means that Goa’s current internet connectivity will have to be upgraded by several notches before the State can go for cashless transactions. If all transactions go online than the pressure on the existing infrastructure will be tremendous, with traffic increasing by a minimum of 1.5 times the present. The State, given its current infrastructure status, requires more than 300 mobile towers to improve the existing internet network. Setting up these towers will not be easy as villages across Goa have been opposing mobile towers in residential areas fearing health issues due to radiation.
The challenges, therefore, are twofold in Goa, not just in getting traders and consumers to opt for online payments but putting in place the infrastructure. The government now saying that there is no deadline, should ease some worried minds, but since it is not withdrawing the circular it should now concentrate on getting the required infrastructure in place. Making the transition after the infrastructure is in place will be much easier, as the time taken to get the State ready for online payments can be utilized to prepare the people to make the transition. Cashless transactions is not a system that can be forced upon the people, at best it can be promoted. The government should be able to differentiate between these two and go for the better option.
