Debit cards continued to gain in popularity in India in the 2008/09 fiscal year to 31 March with the number in issue at the end of the period standing at 137.4 million, up 34.2 percent compared with the end of 2007/08, according to the Reserve Bank of India (RBI).
The number of debit card transactions increased at an even faster pace, rising 44.6 percent compared with 2007/08 to 127.7 million while the total value of transactions advanced by 48.1 percent to INR185.47 billion ($3.9 billion).
The increase in both the number and value of transactions was significantly higher than during the period 2003/04 to 2007/08 when CAGRs of 23.6 percent and 26.6 percent, respectively were recorded.
Credit cards experienced a far tougher year, with the number of cards in issue actually falling from 27.5 million at the end of 2007/08 to 24.7 million.
There was, however, continued growth in the credit card sector with the number of transactions increasing by 13.8 percent to 259.6 million and the value of transactions increasing by 12.7 percent to INR653.56 billion.
Growth in the number and total value of credit cards transactions was considerably below CAGRs of 22.8 percent and 34.6 percent, respectively, recorded between 2003/04 and 2007/08.