IMPACT OF DIGITALIZATION

AND AVAILABILITY OF INTERNET

ON VARIOUS SECTORS
DIGITIZATION 

• In, today‘s digital society, all knowledge is divided into two binary strings, 0s and 1s
that codified the data, which allow people to create, control, and share data in ways
that to be revolutionary. 
• According to Pearce-Moses (2005) ―Digitization is the process of transforming analog
material into binary electronic (digital) form, especially for storage and use in a
computer. Digitization converts materials from analog formats that can be read by
people to a digital format that can be read only by machines. The devices like scanner,
cameras, and a number of other devices can be used to digitize knowledge contents.
These technologies allow the digitization of almost all types of materials, including
paper documents, rare documents, photographs, sound recordings, and motion
pictures. 
Digitalisation has impact on three levels:

• society
• economy
• people
How Digitalization has changed the face of Indian Sectors:

Digitalization and Indian Economy:

We have all been a part of the Digital World where we have touched the Digitalized business processes
by using in our day to day’s life. Think of activities such as making railway reservation online, buying
Air tickets, bus tickets online or making payments by credit card, debit card, etc.
For years, promoting Digitalization has been a Governmental initiative to give all services to every
citizen on their web portals or electronically, to make the transactions transparent and smooth.
The real changes because of Digitalization are becoming visible today because of the push by
govt., which is expected to usher in a new era (like how computerization did in public as well as private
sector almost two decades back). Things like paper currency notes will soon be a thing of past.
Slowly we are moving towards Digitalization of Indian Economy with new steps and initiatives.
Digitization explained in layman’s language is simple.
“Ab cash saath rakhna jaruri nahi, sab payment phone se ho jati hai” or we don’t have to carry cash all payments can
make through phone.
There are certain factors which compel us to follow Digitalization in our routine life.
On the contemporary, we need certain essential elements to materialize Digitalization in our routine
life.
Why Digitization is the need of the hour:
Corruption today is the biggest problem in developing countries. In fact,
corruption is a problem we have faced for ages.
It is said, a parallel economy flourishes side by side to our main economy. This
economy is run by those who avoid paying taxes to the Govt.
One of the prominent reason for the parallel economy is the dependency on
cash-based businesses.
The culprits running the parallel economy do not feel like having bank accounts
and other business books which simply means no tax payment to Govt.
With Digitalization Initiatives like Taxations being bought online and steps like
Demonetization, the govt is trying to weed out corruption from our system
which is expected to lead to a positive impact on Indian Economy.
Role of Digitalization in Banking Sector in India:

With digital transactions, one needs to have a proper bank account and essential documents. Banks are the part and parcel of
our day-to-day life.  Banking includes ATM transactions, online payments, and transfers.
Because of Digitalization of their processes, banks have saved costs by improving their processes. Customers have been able to
avail benefits such as ATMs, cashless transactions using Credit Card, Debit Cards, etc.
For example, earlier it was impossible for anyone to get an unsecured business loan because of the high risk involved and
documentation required to provide the same.
Fast forward today, Government is pushing schemes like Mudra under which 
Startups can get startup business loan without collateral. It is only because of Digitalization that banks have been
able to give benefits of schemes like this to startups in India.
This has given a boost to initiatives like startup India, Mudra, etc.
Today, banks are going out of the way to adopt the latest technologies to enhance customer experience. Another marvellous
example of digitalization is mobile banking where banking can be done on mobile phones.
The feature allows you to literally use your bank account from your mobile phone.
Digitalization in Banks has not only reduces human errors and save time but has led to cashless transactions which have reduced
the circulation of fake currency in the market. Thereby, leading to a positive impact on our economy.
2016 is the year which will be always linked to demonetization for the withdrawal high amount denomination Rs. 500 and Rs. 1000
of India’s currency in circulation on November 8.
After Demonetization was announced, cashless payments in October 2016 increased 22%, when compared to October 2015,
indicating that Indians have been progressively more accepting of different digital payments modes since 2015.
 
Let’s have a look at couples of statistics related to an impact of
digitization on the Indian economy in terms of employment,
contribution to GDP in comparisons with other countries:
DIGITAL INDIA
• Digital India is a campaign launched by the Government of India in
order to ensure the Government's services are made available to
citizens electronically by improved online infrastructure and by
increasing Internet connectivity or by making the country digitally
empowered in the field of technology.[1][2] The initiative includes plans
to connect rural areas with high-speed internet networks. Digital India
consists of three core components: the development of secure and
stable digital infrastructure, delivering government services digitally,
and universal digital literacy.
• Launched on 1 July 2015 by Indian Prime Minister Narendra Modi, it is
both enabler and beneficiary of other key Government of India
schemes, such as BharatNet, Make in India, Startup India and 
Standup India, industrial corridors, Bharatmala, Sagarmala, 
dedicated freight corridors, UDAN-RCS and E-Kranti.
• As of 31 December 2018, India had a population of 130 crore people,
123 crore Aadhaar digital biometric identity cards, 121 crore mobile
phones, 44.6 crore smartphones, 56 crore internet users up from 481
million people (35% of the country's total population) in December
2017, and 51 per cent growth in e-commerce.[3][4]
OUR PRIME MINISTER SHARING
THOUGHTS ON DIGITAL INDIA