New Delhi: India’s digital payments ecosystem continued its rapid growth in the second half of 2024, as mobile phone-based payments surged by 41% in volume to 88.54 billion transactions, according to Worldline India’s Digital Payments Report 2H 2024. The total transaction value also climbed by 30% to ₹197.69 lakh crore between July and December 2024.
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This sharp rise is credited to the expansion of digital payment infrastructure, including the widespread use of Unified Payments Interface (UPI), mobile wallets, and QR code adoption across merchants.
UPI Transactions Record Massive Growth
The UPI platform remained the backbone of India’s digital economy. Both person-to-person (P2P) and person-to-merchant (P2M) transactions witnessed impressive growth:
- P2P Transactions:
- Volume: Grew 30% to 35.21 billion
- Value: Increased 26% to ₹93.84 lakh crore
- P2M Transactions:
- Volume: Jumped 50% to 58.03 billion
- Value: Rose 43% to ₹36.35 lakh crore
This surge reflects the increasing adoption of UPI across both consumers and merchants, driven by its convenience, real-time settlement, and zero-cost structure.
Card Payments See Credit Card-Led Growth
Card-based transactions also saw positive momentum:
- Credit card usage rose 36% to 2.42 billion transactions
- Debit card usage declined 29% to 0.82 billion
- Prepaid cards grew 11% to 0.86 billion
In terms of value:
- Total card transaction value increased 8% to ₹13.64 lakh crore
- Credit cards alone contributed ₹10.76 lakh crore, a 14% increase over the same period in 2023
QR Codes and PoS Terminals Expand Rapidly
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India’s payment acceptance infrastructure expanded significantly during the second half of 2024:
- UPI QR codes increased by 126%, reaching 633.44 million (63.34 crore)
- PoS (Point-of-Sale) terminals rose 23% to 10 million
Private sector banks led the way in PoS deployments, holding an 82.2% market share.
Electronic Toll Collection (ETC) Also Sees Uptick
India’s FASTag-based Electronic Toll Collection (ETC) also posted strong growth:
- Tags issued: 103.1 million (up 26%)
- Transaction volume: 2.05 billion (up 9%)
- Transaction value: ₹35,637 crore (up 12%)
India Strengthens Its Digital Payments Dominance
The data underlines India’s continued leadership in digital payments globally. With robust infrastructure, rapid adoption of QR and UPI systems, and a shift toward contactless transactions, mobile payments are becoming the default for billions of Indians.