Finance Minister Arun Jaitley’s bid in Budget 2017 for cashless society driven by demonetization in rural areas will be the cornerstone for a Digital India. About 70% of India’s population lives in villages and any policy has to take them into account to be successful. An integrated approach is needed to phase out the moneyed economy and by extension black money will be instrumental in forging economic structure for the twenty-first century India.
The push for digitalization in Budget 2017 is a boon for cloud computing—technology essential for success of Digital India, Smart City, demonetization or GST. A robust cloud infrastructure to support the go-digital initiative is a must. Moreover, implementation gaps of demonetization can be reduced only through cloud computing. Cloud is paramount for demonetization as all digital wallets require this technology for financial transactions of the future.
“The Government must invest in cloud as any digitalization of society would depend on the technology to handle it. A highly developed digital infrastructure is compulsory for digitalization as we see several companies failing to provide robust digital wallets,” said Shashank Dixit, CEO, Deskera, a global cloud software provider.
Moreover, the Goods and Services Tax (GST) is set to roll out. Implementation of certain aspects of GST, like input tax credit system, which allows an enterprise to claim credit for taxes paid outside their home state, will need a robust cloud infrastructure as this is the only tech available on the go and can help SMEs coordinate among various offices. A premise-rooted technology cannot factor in the geographical spread.
The drive for cashless economy would get global players interested in government’s initiatives. For the next budget, Finance Minister Arun Jaitley can incentivize the cloud technology, speeding up digitalization. Summing up, Budget 2017 lays foundation for rapid expansion as well as consolidation of cloud services, helping SMEs, startups, and small businesses. This would ensure the economy grows holistically as well as the country and society.