According to the latest data issued by the Reserve Bank of India (RBI), credit card spending climbed by 27 percent year on year (Y-o-Y) to Rs 18.26 trillion in the fiscal year 2023-24, up from approximately Rs 14 trillion the previous year.
Credit card spending increased by approximately 10.07 percent in March 2024 to Rs 1.64 trillion from Rs 1.49 trillion in February, owing to the conclusion of the fiscal year and festival sales in March.
"The festive season, as well as the fact that March marks the end of the fiscal year, most certainly drove sequential transactions in the month. Credit card spending will continue to expand, but at a slower pace due to a bigger base and regulatory monitoring," said Saurabh Bhalerao, Associate Director at CareEdge Ratings.
Point of Sale (PoS) transactions in the country increased to Rs 60,378 crore in March 2024 from Rs 54,431.48 crore in February 2024, accounting for Rs 1.64 trillion in total. Meanwhile, e-commerce payments increased slightly to Rs 1.05 trillion, up from Rs 0.95 trillion the previous month.
Among the top card players, transactions using HDFC Bank's credit card were Rs 43,471.29 crore, up 8.57 percent from Rs 40,288.51 crore in February. Similarly, Axis Bank reported an 8.05 percent increase in transactions to Rs 18,941.31 crore from Rs 17,528.97 crore during the same period.
Meanwhile, spending on ICICI Bank's credit card increased by 14.49% to Rs 30,733.11 crore from Rs 26,843.03 crore in February.
