e-Money Share in India’s Payment Systems Reaches 21.5%: RBI
Jun. 8, 2019The report, which termed demonetisation “a game-changer for e-Money”, provides a comparative position of the payment system ecosystem in India relative to comparable payment systems and usage trends in other major countries.
“While demonetisation gave the necessary fillip, the availability of mobile infrastructure and alternate payment systems ensured that payment systems were not affected when cash was in short supply,” said the report.
While medium to large-value transactions continue to be made through digital banking channels and cheques, the low-value day-to-day transactions shifted to e-Money, it noted.
The study found that when it comee to using e-Money for online transactions, India is far ahead of other developed countries.
“Although behind China, India has a decent 26 per cent of online transactions using e-Money,” said the report.
“While this is good from the customer service perspective, it depicts high demand for cash,” said the report.
Based on the mix of the countries benchmarked, India is in the lower rung and ranks higher than only Germany and Indonesia, said the report.
