Milestone Achievement
The Reserve Bank of India (RBI) announced that the total number of credit cards issued by banks in India reached 100.6 million as of February 2024, crossing the significant 100 million threshold. This represents a modest increase from the 99.5 million cards recorded in February 2023.
Leading Banks in Credit Card Issuance
- HDFC Bank remains the frontrunner with 20.40 million credit cards.
- State Bank of India (SBI) follows with 18.75 million cards.
- ICICI Bank and Axis Bank have 16.84 million and 13.90 million cards in circulation, respectively.
Transaction Trends
- Overall Spending: There was a decline in total credit card spending from Rs 1.66 trillion in January 2024 to Rs 1.49 trillion in February 2024.
- E-commerce and PoS Breakdown:
- E-commerce transactions fell from Rs 1.08 trillion to Rs 0.95 trillion.
- Point of Sale (PoS) transactions decreased from Rs 58,532 crore to Rs 54,431 crore.
Individual Bank Performance in February 2024
- HDFC Bank: Transactions dipped from Rs 43,711 crore to Rs 40,289 crore.
- ICICI Bank: Decreased from Rs 29,673 crore to Rs 26,843 crore.
- Axis Bank: Fell from Rs 20,305 crore to Rs 17,528 crore.
- SBI: Transactions reduced from Rs 30,694 crore to Rs 23,248 crore.
Yearly Growth and Market Factors
- Despite the month-over-month decrease, overall credit card transactions in February 2024 saw a substantial year-over-year increase of 26.67% from Rs 1.18 trillion in February 2023.
- Growth Drivers: Increased digitalization of financial transactions, the convenience of use, and the reliability of credit cards for funding consumer needs are structural factors contributing to this growth.
Overview of the Reserve Bank of India (RBI)
- Governor: Shaktikanta Das
- Established: 1935
- Headquarters: Mumbai, Maharashtra
This surge in credit card circulation underscores the expanding footprint of digital financial services in India, reflecting broader economic trends towards cashless transactions and enhanced consumer financial engagement.
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