Digital payments in India to account for 71.7% of all transactions by 2025

It is reported that on Wednesday, ACI Worldwide , which provides payment solutions to enterprises, released a report stating that digital payments in India will grow rapidly in the next few years, and by 2025, digital payments will account for 71.7% of India's total payments .

The report also said that India's real-time payment transactions were 25.5 billion, ahead of China, which had 15.7 billion real-time payment transactions. It is reported that the top five countries in terms of real-time transaction volume in 2020 are India, China, South Korea, Thailand and the United Kingdom .

The agency said that among the overall payments in 2020 , real-time payments accounted for 15.6% of the share, other electronic payments accounted for 22.9%, and paper payments accounted for 61.4%.

By 2025, real-time payments will account for 37.1%, electronic payments will account for 34.6%, and the share of cash and other paper payments will drop to 28.3%.

Vice President Kaushik Roy said collaboration between the Indian government, regulators, banks and fintech companies has helped advance the goal of achieving financial inclusion and providing citizens with fast digital payments.

As the pandemic continued to spread in India and consumer and business behaviors changed , banks, merchants and intermediaries across the payments ecosystem responded quickly, prioritizing digital transformation, the report said .

It is understood that the penetration rate of mobile wallets increased from 40.6% in 2019 and 18.9% in 2018 to 46% in 2020 , reaching a historical high .

Countries such as Brazil, Mexico and Malaysia, where many people relied on cash in the past, are now among the fastest adopters of mobile wallets, the report said.

The sudden outbreak of the epidemic has changed people's lives . In order to minimize direct contact with each other and prevent the virus from spreading through paper money, mobile payment has become the norm in people's lives .

Although the epidemic will eventually pass and its direct impact is certainly temporary, the changes in lifestyle and production methods caused by the epidemic also indicate the accelerated arrival of the era of intelligent business. Driven by the market and supported by policies, digital payment may continue to develop rapidly.

India

Digital Payments

E-commerce