The government will be launching a new payment mechanism called Aadhaar Pay which will allow any person with his Aadhaar number linked to Bank account, can make and/ or receive payment, with a thumb impression alone. The number of Aadhaar enrolments in the country has crossed 111 crore and covers around 98% of the country’s population (the population stood at over 125 crore as of 2013), the ministry of electronics and IT said in a press release.
Note that this Aadhaar Pay is not the same as the Aadhaar Enabled Payment System (AEPS). The AEPS is a financial inclusion product developed by the National Payments Corporation of India (NPCI) which allows cash withdrawal, deposit and funds transfer at POS (MicroATM) through a business correspondent of any bank using the Aadhaar authentication.
The number of bank accounts which are linked to the Aadhaar currently stands at 39 crore, the ministry added.
Currently, 14 banks have signed up for Aadhaar Pay as indicated by this Economic Times report and Ravishankar Prasad, minister for IT and electronics said that they would be launching the service soon. The report added that the Aadhaar-Enabled Payment System (AEPS) will be integrated to the Bharat Interface for Money (BHIM).
The ministry added that there are 119 banks on the AEPS. ” More than 33.87 crore transactions have taken place through AEPS, which was only 46 lakhs in May 2014. While only 7,406 AEPS points were available in May 2014, we now have over 1,65,000 agents available in the villages,” the ministry added.
The number of transactions on the Aadhaar Payment Bridge, more popularly known as Direct Benefit Transfer (DBT), stood at 167.36 crore with the value of the transaction standing at Rs 44,967 crore. As on May 31, 2014, DBT transactions were 7 crore worth Rs 4,000 crore.
Aadhaar enrolment ecosystem has 135 registrars and 612 enrolment agencies working at 47,192 enrolment stations has been enrolling and updating 7-8 lakhs requests per day the release added.