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US payment giants operating in India cry in front of US Govt after PM Modi’s tactic destroyed their dominance in India

What PM Modi has done for nation? Those who ask this question I should say they are blind as they are actually not able to see what PM Modi has done as their eyes are covered with the blanket of hatred for Prime Minister Modi.They can’t see that the leadership of PM Modi and his Government various initiatives and policies are not only applauded worldwide but it has also shaken the other global players

Slapping all such people hard, it has come to forefront that due to PM Modi’s digital India push and making people aware for using facilities such as banking and domestic payment networks the foreign players such as Mastercard are hit badly.

Witnessing a downfall in their business the US Financial Service Corporation Mastercard has complained to US Government over PM Modi’s promotion of Indian card network Rupay. The foreign payment giant has complained that PM Modi is using the “nationalism” approach to promote the use of a domestic payment network

PM Modi has publicly endorsed the indigenous card payment network by making people of the nation understand that using RuPay is like serving the country as its transaction fee stays within India and could help build roads, schools and hospitals After his promotion of the domestic payment network more than half of India’s 1 billion debit and credit cards now go through the RuPay payment system, and that means companies such as Mastercard face an uphill task to expand rapidly in one of the world’s biggest payments growth markets.

In a reference to PM Modi’s stance, Mastercard has written to the Office of the United States Trade Representative (USTR) on June 21 that the Prime Minister Modi “associated the use of RuPay cards with nationalism, claiming it serves as ‘kind of national service’.”

The note, which was sent by a Mastercard Vice President for Global Public Policy, Sahra English, said that, while Modi’s digital payments push was “commendable”, the Indian government had adopted “a series of protectionist measures” to the detriment of global companies.

“Increasing rhetoric from the Prime minister and government mandates on promotion and preference for RuPay continues to create market access issues for U.S. payments technology companies,” Mastercard said in the note. “The Indian government’s preferential treatment of RuPay coupled with fallacies on pricing must be discontinued,” the company asked the U.S. government to propose.

U.S. companies in India have been increasingly battling Modi’s policies they perceive to be protectionist. This year, U.S. technology companies have protested against an Indian law that would require them to store more data locally, raising their costs. Modi’s support for RuPay has also earlier frustrated the Purchase, New York-based Company, which is the world’s second-largest payments processor as observed by the Reuters,

The people who underestimate the leadership of Prime Minister Modi should know and understand that it is because of him India is now being recognized at global level. Earlier those who used to view India as a nation of snakes and serpents now see India as the nation which is progressing continually and the credit of shift in their thinking goes to Prime Minister Modi


Source : Economic Times


Niharika

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