New Delhi, Dec 5 (IANS): To give a push to its digital payments movement, the government has asked its employees to make use of debit cards for their personal use and directed all ministries to set up camps to help those who do not have one, an official statement said on Monday.

"All ministries/departments are requested to encourage their employees to make use of debit cards for personal related transactions instead of cash," the Finance Ministry said in a statement.

"Ministries/departments should liaise with their accredited banks and set-up special camps to facilitate obtaining of and ensure that all its employees are in possession of debit cards. They may also issue similar advisories to their attached/subordinate offices, public sector undertakings, autonomous bodies etc.," the statement said.

Ensuring and encouraging government employees to maximise the usage of debit cards for personal related transactions instead of cash would go a long way serving with the employees serving as 'ambassadors' for the digital push, it said.

For popularising its usage, the government had recently reduced the Merchant Discount Rate (MDR), which a shopkeeper pays the bank for Point of Sale (POS) transaction, to zero on debit cards till December 31, 2016.

Excise duty payable on acquisition of POS machine which was earlier 16.5 per cent has been waived till March 31, 2017.

The National Payment Corporation of India had introduced insurance cover in case of accidental death or permanent disablement of Rs 1 lakh for non-premium cards (RuPay Classic) and Rs 2 lakh for premium cards (RuPay Platinum) to eligible RuPay card holders. 

The RuPay Insurance programme will continue for financial year 2016-17, i.e. from April 01, 2016 to March 31, 2017.