Economy
2017
Banking in India
Government Schemes

Which of the following is a most likely consequence of implementing the ‘Unified Payments Interface (UPI)’?

D.Direct transfer of subsidies to poor people will become very effective.
A.Mobile wallets will not be necessary for online payments.
B.Digital currency will totally replace the physical currency in about two decades.
C.FDI inflows will drastically increase.

Correct Answer: Option A

The Unified Payments Interface (UPI) allows customers to make payments directly from their bank accounts to merchants, both online and offline.

This eliminates the need to enter credit card details, IFSC codes, or net banking/wallet passwords for each transaction.

Therefore, mobile wallets become less necessary for online payments when using UPI.

Option (a) is the most likely consequence.

Options (b) and (c) are considered uncertain events and can be discarded.

While UPI can facilitate direct transfers of subsidies, this isn't its primary or most likely consequence.

Hence, option a is the correct answer.

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