On night of 8th nov 2016, honorable prime minister of India Mr. Narendra Modi announced demonetization of Rs.500 and Rs.1000 from Indian currency. This decision made many Indians happy, as it is considered as bold step against black money. Despite of chances to face hurdle in coming days, average and poor Indian citizens are voluntarily ready for this challenge.
At other end Sensex started falling for companies dealing in direct cash payments like real estate, it also includes midsized finance companies but this rate lower rate for tech industries, especially for Software development company. Sensex felled with rate of 15% to 20 % for real estate industries Vs 3% to Software development company.
Milking the opportunity
This historic decision is taking India to another level as in recent time it is observed that Indians are more attracted towards online payments. E-wallet industries taking huge benefit of this decision by campaigning government’s decision on their portal, within 24 hours since order is in effect paytm has notice increase in user traction by 485% and 15 times increase in recharge volumes in ola money.
This decision is considered, a green signal to expand e-wallet industry to receive and make payments in all possible verticals. But there is another side of coin which claiming a threat to this industry and it is increase in mobile wallet development products from many pioneer rivals. The government them self could be a biggest threat for e-wallet industry since in power Modi government is highly focusing on digitalization of processes and in same interest government also have developed many Android apps like MyGov, Voter Information Search, AADHAAR enrollment status, and many more. To maintain the same efficiency and to support the historic decision government may develop own e-wallet application for Indian users.
India is expected to have the largest developer population globally, overtaking the US, by 2018, with four million developers. But today only 25% of developers are building for mobile. Startup India and demonetization of currency will eventually take android application development to next level as android is most preferred OS in the largest democracy.