Jammu and Kashmir witnesses 134% growth in Aadhar-enabled transactions: Report

Jammu and Kashmir and northeast states witnessed a multifold increase in the adoption rate of Aadhar-enabled financial services in FY24, according to a recent study conducted by fintech start-up PayNearby. 

Meghalaya led the rankings with a 1000 per cent surge in AePS (Aadhaar Enabled Payment System) transaction value and a 712 per cent rise in transaction volume, following Nagaland and Assam, the report said. 

In addition, transaction value at MicroATMs of Mizoram and Meghalaya grew by 55 per cent and 43 per cent respectively, whereas volume grew by 33 per cent and 43 per cent respectively, it stated. 

On the other hand, Jammu and Kashmir's retail stores grew over 134 per cent in value and 89 per cent in the volume of Aadhar-enabled payment transactions in FY24. The microATM transactions at J-K's retail stores saw a 31 per cent increase in both value and volume.

Commenting on the report, PayNearby MD and CEO Anand Kumar Bajaj said, “This reflects the critical role of retail outlets in facilitating easy access to banking services, especially in areas where traditional bank branches may not be easily accessible.”

The 'Atmanirbhar Bharat Digital Empowerment' report by PayNearby, a branchless banking and digital network provider, analyzed transactions across over 1.2 million retail touchpoints nationwide. The insights were derived from business data collected for the fiscal year 2023-24, compared to the previous fiscal year.

The report also revealed that transactions on UPI QR codes at retail outlets growing by 84 per cent. Assam ranked first in terms of overall financial and digital transactions, followed by Madhya Pradesh, Gujarat, Maharashtra, and Rajasthan, the report added. 

Besides J-K and northeast, Punjab also marked a 29 per cent increase in disbursing MSME loans through retail stores, the highest in the country. Telangana and Uttar Pradesh noted the highest growth in e-commerce transactions.