The Delhi government has asked all its departments to make electronic payments to suppliers, contractors and institutions if the order value exceeds ₹5,000.

The Finance Department of the Delhi government has issued an office memorandum deciding to implement the recent order of the Union Finance Ministry in this regard to promote e-payments.

In the memorandum, the department has asked that payments should be made to contractors, suppliers and institutions through Real Time Gross Settlement Systems (RTGS), National Electronic Funds Transfer (NEFT) and Electronic Clearing Service (ECS).

“It has been decided to implement the instructions (of the Union Finance Ministry) ... in the departments, autonomous institutions, public sector undertakings and Corporations of Government of NCT of Delhi. Accordingly, all payments to the suppliers, contractors, grantee/loanee institutions etc above ₹5,000 may be made through electronic mode i.e. RTGS, NEFT and ECS with immediate effect,” the Finance Department said in the memorandum.

The city administration’s move comes in line with the Centre’s decision to promote digitisation of payments following the announcement of demonetisation of ₹500 and ₹1,000 notes on November 8.

Earlier this month, the Centre had lowered the threshold for making such payments from ₹10,000 to ₹5,000, a move that was aimed at attaining the goal of complete digitisation of government payments.