After April’s fall, credit card spends hit a high of ₹1.4 lakh cr in May

After declining in April, credit card spending is back on the rise To touch a record of INR 1.41 crore in May 2023, surpassing the previous high of Rs 1.37 lakh crore in March.

Spending rose 6 percent in May after falling 3.3 percent in the previous month, according to data from the Reserve Bank of India (RBI).

According to the data, 64 percent of credit card spending during May was for e-commerce payments, and 36 percent for point of sale (point of sale) transactions.

of the major exporters, Axis bank The highest saw spending increase by 10.8 per cent to INR 17,302 crore during the month, followed by ICC bank which saw an 8 percent increase.

HDFC Bank It continues to lead in terms of spending, which reached INR 40,172 crore in May, an increase of 5.8 per cent, on a monthly (mom) basis. On the other hand, SBI card spending decreased by 2 per cent.

Spending has now remained above the ₹ 1 lakh crores mark for the 15th consecutive month. Total credit card spending in FY23 was Rs 14.3 crore, up by 47 per cent year-on-year (YoY).

Card Extras

The industry continued its steady growth rate in terms of card additions, net adding more than 12 lakh credit cards in May. This took the total cards in effect to Rs 8.8 crore, up 1.4 per cent, mum – the same increase as in April. Credit cards in force as of March 31 were Rs.8.5 crore, up 15.9 per cent over FY23.

Bank of America was the new entrant during the month, adding three new cards with a total spend of £90,000.

Also read: The Reserve Bank of India allows banks to issue RuPay prepaid forex cards

Despite the decline in spending, SBI Card led the increase in card count, with a net addition of 2.8 lakh cards during the month to a total of Rs 1.7 crore at the end of May. It was followed by HDFC Bank, which saw a net addition of 2.4 million cards, and maintained its leadership position as an issuer with a total of ₹1.8 crore.

Axis Bank added 2 lakh cards during the month, taking the total cards to 1.2 crores, while ICICI Bank added 1 lakh cards taking the total cards to 1.5 crores.