Has demonetization triggered farmers to move towards cashless transactions?

Abstract

This paper has documented the difficulties faced by farmers due to demonetization, facilities existing for making digital payments and farmers’ opinion about it. The study has used primary data collected through farm survey done in October 2017, almost a year after demonetization. The survey was made in three adopted villages under MGMG (Mera Gaon Mera Gaurav) scheme in Palwal district of Haryana. Results have shown that due to demonetization farmers faced numerous difficulties (both crop production and family related activities). They could not use quality inputs (particularly seeds of wheat) in desired quantity, got delayed payment of their crop produce and faced problems in drawing money from bank. Family and societal needs were also affected. Payment in cash was the main mode of transactions (and even now) for food and non-food articles. Analysis revealed that large number of farmers have bank account and are availing facilities of debit cum ATM card, but their functional literacy and infrastructure are inadequate. Farmers’ expressed both merits and demerits about digital payments. Nevertheless, without removing fear of farmers and other rural people and bringing change in their attitude, moving towards digital mode of transactions will not trigger desired results.

Grounding financialisation: Development, inclusion, and agency

“…Two aspects of these processes are particularly worthy of attention. The first involves the ways in which access to the “everyday” of development (health, education, water, utilities, remittances) is increasingly incorporated globally into a financial logic through use of market mechanisms (Bekoe et al, 2017; Kumar et al, 2018). In the Global South, the links to newly instituted neoliberal regimes of governance – of water in India, for example (Walters, 2013) – are integral to the increasing use of market forces to regulate access of the poor for service provision.…”

“…Development institutions – both state and civil society – are also changing to accommodate financialisation (Kumar et al, 2018). We can see this, for example, in the emerging interest in development impact bonds (DIBs) (see Alenda‐Demoutiez, 2019; Glassman & Oroxom, 2017; Loraque, 2018; Overton & Murray, 2021).…”

Cashless Transactions Socioeconomic Determinants and Its Effectiveness in Livestock Marketing Activities among Livestock Marketers in Katsina State, Nigeria

“…Despite the benefit derived from digital payment, cashless transactions are still low and there are high transaction costs and fear of cybercrime, money loss, internet connectivity problems, especially in developing countries such as India where the cashless policy was fully introduced (Kumar et al, 2018). Smallholder farmers "supply 60% of the world's meat, and provide 75% of the world's dairy production" (International Fund for Agricultural Development [IFAD], 2016).…”