With the Centre rooting for cashless transactions, following the decision to ban high-value notes on November 8, the Union urban development ministry has asked all the 4,041 municipalities across India to shift to e-payments at the earliest.
These municipalities account for 75% of the total 40 crore urban population in the country.
Urban development secretary Rajiv Gauba has directed the urban local bodies to develop the facility for both income and expenditure related transactions, which include payment of property tax, water and power bills, all kinds of fee and licence charges, online booking of community halls and issue and renewal of birth and death certificate.
Municipalities have also been told to pay salaries through e-payment. Some municipalities, for instance seven cities in Madhya Pradesh, have already adopted cashless transactions.