The report on ‘Benchmarking India’s Payment Systems’ which was released on Tuesday mentions that the country is “strong” in areas like having necessary laws and cash in circulation per capita.

The report provides a comparative position of the payment system ecosystem in India relative to comparable payment systems and usage trends in other major countries. It says India is a “leader” in regulating costs of payments systems, number of debit cards issued and automated teller machines.

The report adds that India needs to make more efforts to decrease the volume of paper clearing and increase acceptance infrastructure to promote digital payments.

The report comes following an announcement in the April monetary policy review, which spoke about the need to benchmark India’s payments systems.