Electronic money institution (EMI) licence is a legal authorization that allows an institution to issue and manage electronic money, also known as e-money. E-money is a digital form of currency that can be used for financial transactions, such as transferring money, paying for goods and services, and making online purchases. Over the years, the development and popularity of e-money have led to an increase in the number of financial institutions obtaining an EMI licence. This comes as no surprise as an EMI licence offers a multitude of positive benefits for both the institution and its customers. In this article, we will discuss the positive impact of EMI licence in today's digital world.

First and foremost, EMI licence provides convenience and accessibility for customers. With the rise of online and mobile banking, customers are no longer restricted by the traditional methods of banking. An EMI licence allows customers to have access to their funds anytime, anywhere, and from any device with an internet connection. This enables customers to have greater control over their finances and eliminates the need for physical visits to a bank branch.

Moreover, an EMI licence promotes financial inclusion, especially for individuals who are unbanked or underbanked. These individuals, who may not have access to traditional banking services, can now have the means to store and transfer money electronically. This can facilitate financial transactions, such as receiving salaries, paying for utilities, and making online purchases, which were once not possible for them. These individuals can now become part of the digital economy, promoting greater financial stability and empowerment.

Another significant benefit of an EMI licence is the reduction of costs for both the institution and its customers. E-money transactions are relatively cheaper than traditional banking methods, which involve physical branches, ATMs, and cash handling. This cost-effectiveness can translate into lower transaction fees for customers, making financial transactions more affordable and accessible for all.

Additionally, EMI licence contributes to the growth and development of the digital economy. As more financial institutions obtain an EMI licence, electronic money becomes more widely accepted, promoting its usage and adoption. This, in turn, leads to the growth of e-commerce and other digital transactions, creating new opportunities for businesses and consumers. The digital economy is continuously expanding, and an EMI licence plays a crucial role in driving its growth and potential.

Furthermore, EMI licence promotes competition in the financial sector, leading to innovation and better services for customers. With more players in the market, institutions are forced to differentiate themselves and offer competitive products and services. This drives innovation and encourages institutions to provide better user experience, advanced technology, and improved security measures for their customers.

In conclusion, an EMI licence has a positive impact on both the financial institutions and their customers. It promotes convenience, accessibility, financial inclusion, cost-effectiveness, and competition in the digital economy. As technology continues to advance, and the reliance on digital transactions increases, the demand for EMI licence will continue to grow. It is a crucial step towards achieving a cashless society and promoting financial stability and growth for all. As such, obtaining an EMI licence is a beneficial move for any financial institution looking to stay relevant and competitive in today's digital world.