Digital payments to become a trillion-dollar market in 5 years: Report

It said mobile payments are slated to rise from $10 billion in 2017-18 to $190 billion by 2023.

The digital payments market in India is expected to grow to $1 trillion by 2023 driven by spurt in mobile payments, presenting huge business opportunities for players in the digital space, said a report by NITI Aayog. 
 
It said mobile payments are slated to rise from $10 billion in 2017-18 to $190 billion by 2023.
 
The report titled 'Digital Payment: Trends, Issues and Opportunities' was launched last week by Ratan P Watal, Principal Advisor, NITI Aayog and Member Secretary, EACPM at a conference organised by FICCI and NITI Aayog. 
 
The report covers growth trends in Digital Payments for the period 2011-12 to 2017-18. The analysis is based on both MeitY and RBI data.
 
While MeitY data provides volume data in public domain, RBI provides both volume and value data in public domain. A note on data sources is also covered in the report, which gives a comparative picture of the data sets captured by MeitY and RBI. 
 
As per report, digital payments have registered robust growth in 2017-18 both in volume and value terms. In fact, in volume terms the growth during the year 2017-18 was much higher than the trend growth rate during the last five years (2011-16). It said growth in total retail payments in value terms has been three times higher than the trend rate of the last five years.
 
The Unified Payments Service (UPI) and Immediate Payment Service (IMPS) segments in terms of volume registered a spectacular growth during 2017- 18. UPI, despite being a new product in the payment segment, has shown a great adoption rate among consumers and merchants, the report said.
 
Not onlt it, even total card payments continued its growth momentum and exceeded the trend growth rate of the last five years both in volume and value terms.
 
According to report, in the volume segment, the key drivers of digital payments are debit cards, PPIs and IMPS. The volume of UPI segment is also increasing. In the value segment, the key contributors of digital payments are RTGS and NEFT.

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