According to a recent RBI report, the number of credit cards in India has more than doubled, rising to approximately 10.80 crore by the end of December 2024, compared to 5.53 crore in December 2019. Meanwhile, the number of debit cards has shown only a modest increase, growing from 80.53 crore in December 2019 to slightly over 99.09 crore by December 2024.
The report also highlights a similar growth pattern in card transactions. In 2024, credit card transactions reached 447.23 crore, valued at ₹20.37 lakh crore, while debit card transactions totaled 173.90 crore, worth ₹5.16 lakh crore. It noted, “Credit card usage has seen a year-on-year growth of over 15% in recent years, while debit card usage has declined.”
By the end of December 2024, India’s financial ecosystem featured a staggering 109.9 crore credit and debit cards in circulation.
Public sector banks (PSBs) witnessed a significant rise in credit card issuance, growing by over 110%, from 122.6 lakh in December 2019 to 257.61 lakh in December 2024. Private sector banks (PVBs) accounted for 71% of the market, with 766 lakh credit cards as of December 2024, leveraging digital solutions and co-branded cards to attract urban and affluent customers.
In contrast, foreign banks experienced a decline in both card numbers and market share, with their credit card issuance dropping from 65.79 lakh in December 2019 to 45.94 lakh in December 2024. Their market share also fell from 11.9% to 4.3%, attributed to high fees and conservative lending practices.
Small finance banks (SFBs) entered the market with 10.97 lakh credit cards by the end of December 2024, focusing on financial inclusivity and underserved populations.
Since January 1, 2019, the RBI has mandated the use of EMV chip and PIN-based debit and credit cards. Additionally, the UPI framework has been expanded to include the linkage of RuPay credit cards and facilitate payments from pre-sanctioned credit lines issued by scheduled commercial banks.
“The integration of credit lines with UPI can lower costs, enabling the development of innovative financial products tailored to Indian markets,” the report noted.
