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Digital Payments Tracker - Outstanding Credit Cards Grew 12% In November, Spends Decline: Motilal Oswal

Digital Payments Tracker - Outstanding Credit Cards Grew 12% In November, Spends Decline: Motilal Oswal



A customer uses a HSBC Holdings Plc Visa Inc. credit card to make a contactless payment, using a Verifone Systems Inc. payment device at a restaurant (Photographer: Simon Dawson/Bloomberg)
A customer uses a HSBC Holdings Plc Visa Inc. credit card to make a contactless payment, using a Verifone Systems Inc. payment device at a restaurant (Photographer: Simon Dawson/Bloomberg)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

The banking system reported net additions of ~1,222k new credit cards in November 2021 (down 9% month-on-month), led by healthy traction by HDFC Bank Ltd., SBI Cards and Payment Services Ltd., and Axis Bank Ltd.

This has taken the total credit card base to 67.6 million (12.4% YoY growth – highest in the past 16 months).

Growth in credit card spends declined by 12% month-on-month to Rs 895 billion in Nov-21 due to the festive season in Oct-21. The same grew a strong 43% YoY (up 22% on a two-year compound annual growth rate basis).

Axis Bank saw a 21% month-on-month decline in Nov-21, followed by ICICI Bank (down 17%), HDFC Bank (down 13%), Kotak Mahindra Bank Ltd.(down 11%), and others up to down 8%.

Click on the attachment to read the full report:

Motilal Oswal Digi PayTracker.pdf

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