Paper Details

Name: G. Arut Geevitha & V. Mohana
Country: India

Year: 2026
Volume: Volume No: 13, Issue No: 1 (January-June)
Page Number: 68-74
DOI: https://doi.org/10.5281/zenodo.19567413

ABSTRACT
India’s rapid digital transformation, driven by National Payments Corporation of India’s
introduction of Unified Payments Interface, has significantly reshaped the financial
landscape. In Tamil Nadu, the Public Distribution System operates through Fair Price Shops (FPS), serving economically weaker sections. This study evaluates the effectiveness of UPI-enabled FPS in promoting digital financial inclusion. Using a descriptive design and stratified random sampling, data were collected from 120 respondents via a structured questionnaire. Analysis (percentage, Chi-square, and
T-test using IBM SPSS) examined awareness, usage, vendor efficiency, infrastructure, and transparency. Findings show 79.1% awareness and 75.8% satisfaction with UPI services. However, challenges include poor network connectivity (38.3%), low digital literacy (35%), and
inadequate infrastructure. The study concludes that UPI-enabled FPS enhance transparency and inclusion but require improved training, infrastructure, and awareness for greater impact.

Keywords: UPI, Fair Price Shops, Digital Financial Inclusion, Public Distribution System,
Digital Literacy, Cashless Transactions.