Role of Online Banking in Emerging Economies: A Special Reference to Indian Banking Sector

Abstract

Now-a-days online banking is said to be creating a cashless economies all over the world. The Promotion of online banking technology enabled the banks to enhance its operations with cost cutting effectively and efficiently in order to handle daily banking affairs via online banking channel. A cashless society describes an economic state whereby financial transactions are not conducted with money in the form of physical banknotes or coins, but rather through the transfer of online information (usually an electronic representation of money) between the transacting parties. Cashless catering is a prepay point of sale (POS) technology that allows transactions with the absence of cash at the time of purchase. It is used in canteens, particularly those in schools. This paper concentres on reviewing the role of online banking in creating cashless economies all over the world and a special focus to India.