The massive effort of the present government of India for bringing a cashless economy has made restless to a large number of the people and various sections of the country. A section of people is doubtful, while other groups are hopeful for the cashless economy. This situation has led the debate and discussion on the utility of the cashless economy. The higher education of India is the third largest in the world after USA and China. With more than 900 universities and more than 35000 colleges, the financial management of the institutions of higher education in India is important and needs special attention. The financing of higher education should be smooth for qualitative and quantitative advancement. What are the challenges in the financing of higher education in the cashless economy? What are the advantages of higher education in the cashless economy? These are some questions which the present paper has tried to find the answer in the context of India. The present paper is important to understand the challenges and prospects of financing of higher education in India. This study would be helpful to all the stakeholders of higher education in India and the world. This study will be an addendum in the financing of higher education in the cashless economy
