Retail Digital Payments in India Surge 100-Fold in 12 Years: RBI Report
Retail digital payments in India have transformed dramatically, as the number of transactions has jumped from 162 crore in the financial year 2012-13 to an astonishing 16,416 crore in 2023-24. This reflects a 100-fold growth over 12 years. The RBI mentioned this surge in its latest 'Payment Systems Report,' which emphasizes the growth of payment infrastructure and the performance of transactions as a whole in the country.
The RBI’s Digital Payment Index, a key indicator of the progress in digital payments, has also reflected this growth, rising more than four-fold over the past six years. The index stood at 445.50 for March 2024, compared to a base of 100 in March 2018, signaling the accelerated adoption of digital payment systems across India.
The volume of digital payments in India has experienced exponential growth. From 222 crore digital transactions worth Rs 772 lakh crore in 2013, the figures have jumped to over 20,787 crore transactions valued at Rs 2,758 lakh crore in 2024. This represents a 94-fold increase in volume and more than a 3.5-fold rise in value. Over the last five years alone, the digital payment volume has risen 6.7 times and value has risen 1.6 times, with a CAGR of 45.9% in volume and 10.2% in value.
From the early days of card-based payments, the digital payment ecosystem in India has witnessed significant growth, with offerings ranging from UPI and IMPS to PPIs and RTGS and all the other forms. The Reserve Bank focused on cross-border payments also by linking its UPI with Singapore's PayNow. It has scaled down remittance costs while positively impacting the experience of cross-border payment.
This rapid growth is positioning India as a global leader in digital payments, catering to the diverse needs of its consumers.
