According to the report conducted by The Associated Chambers of Commerce and Industry of India (ASSOCHAM), India counts nearly 720 million mobile subscribers, which are expected to start using more their devices to carry out mobile payments in the future. In addition, the report indicates that this prediction is based on the fact that although the majority of Indian residents are unbanked they do have a mobile phone.
Moreover, the study has pointed out that the retail market in India has annual transactions worth USD 410 billion (approximately Rs 1,850,000 crore). According to the source, the middle class with over 300 million people and their increasing disposable income has led the retail market to grow exponentially.
However, the report has highlighted the fact that India is currently an economy with 67 percent of retail transactions still being conducted in cash, while non-cash payment method such as credit cards, debit cards and mobile payment services appeal to a small segment of the population.
Thus, the study has revealed that India has 173 million debit cards and 23 million credit cards in use at the moment. In addition, the report has pointed out that the point of settlement terminals in India remains low at 419 per million inhabitants as compared to 1,700 in China, 17,020 in the US and 24,611 in Brazil.
According to the report, stakeholders involved in the development of mobile payments ecosystems in the country are the Reserve Bank of India (RBI), network operators, financial institutions and technology providers.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now