RuPay, UPI technologies India’s identity in the world: PM Modi

New Delhi: Prime Minister Narendra Modi on Tuesday said RuPay and UPI are not just low-cost and highly secure technologies but India’s identity in the world.

Addressing the 10th webinar on Budget, he said, “There is immense scope for innovation. UPI should become a means of financial inclusion and empowerment for the whole world, we have to collectively work for it. I suggest that our financial institutions should also have maximum partnership with fintechs to increase their reach.‘’

Stating that India is moving ahead in digital currency, Modi said, “In the 75th year of Independence, India transferred ₹75,000 crores via UPI, this proves RuPay and UPI are not just low-cost and highly secure technology, it is our identity in the world.”

Touching upon the massive increase in the capital expenditure outlay in the Budget to the tune of ₹10 lakh crore and dynamism induced by PM Gatishakti Masterpaln, the prime minister emphasized the need to support the private sector that is working for the progress of the different geographical areas and economic sectors.

“Today, I would also call upon the private sector of the country to increase their investment just like the government so that the country gets maximum benefit from it”, he added.

Dwelling on the tax-related post-Budget narratives, the prime minister said as opposed to the past, the tax burden has come down significantly in India due to GST, reduction in income tax and corporate tax.

This, he said, has resulted in better tax collection as the gross tax revenue was about ₹11 lakh crore in FY14, which can rise to ₹33 lakh crore in 2023-24, an increase of 200 per cent.

The number of individual tax returns filed increased from 3.5 crore to 6.5 crore from 2013-14 to 2020-21, he said.

“Paying tax is such a duty, which is directly related to nation building. The increase in the tax base is proof that people have faith in the government, and they believe that the tax paid is being spent for public good,” he said.

Modi asked the banking sector that they have a robust financial system of the world and a banking system that is in profit after being on the verge of collapse 8-10 years ago.

Also, he said, there is a government that is taking policy decisions with courage, clarity and confidence.

“Today, the need of the hour is that the benefits of the strength in India’s banking system should reach the maximum number of people,” he said.

Giving an example of the government’s support to the MSME sector, the prime minister asked the banking system to reach out to the maximum number of sectors.

“1 crore 20 lakh MSMEs have received huge help from the government during the pandemic. In this year’s budget, the MSME sector has also got additional collateral-free guaranteed credit of 2 lakh crores. Now it is very important that our banks reach out to them and provide them adequate finance,” he said.

PM Modi pointed out that the government’s policies related to financial inclusion have made crores of people part of the formal financial system.

The government has helped fulfil the dreams of crores of youth by giving Mudra loans of more than ₹20 lakh crore without a bank guarantee, he said.

For the first time, he said, more than 40 lakh street vendors and small shopkeepers received help from banks through PM Swanidhi Yojana.

The prime minister said that the entire world is witnessing the impact of India’s fiscal and monetary policy during the covid-19 pandemic and lauding its efforts in strengthening the fundamentals of the country’s economy in the last 9 years.

Recalling the time when the world looked at India with suspicion, he said that discussions on India’s economy, budget and goals would often begin and end with a question.

He highlighted the changes in financial discipline, transparency and inclusive approach and noted that the question mark at the beginning and end of the discussion has been replaced by ‘vishwas’ (trust) and ‘apeksha’ (expectations).

Touching upon the issue of ‘vocal for local’ he said that this is not a matter of choice but ‘vocal for local and vision of self-reliance is a national responsibility’.

“Our exports have been at an all-time high, whether in goods or services. This indicates growing possibilities for India,” he said, adding, the stakeholders like organisations and chambers of industry and commerce to take up the responsibility to promote local artisans and entrepreneurs up to the district level.

He clarified that ‘vocal for local’ is bigger than just buying products from the Indian cottage industry.

“We have to see which are the areas where we can save the country’s money by building capacity in India itself,” he said citing examples of higher education and edible oil where a lot of money goes out.

The prime minister said Indian talent, infrastructure and innovators can take the Indian financial system to the top.