Payments landscape shows a distinct deviation to digital

Paper-based instruments such as cheques see a steady decline

- KSHIPRA PETKAR

INDIA’S PAYMENTS ECOSYSTEM continues its transformation, with data showing a consistent rise in digital transactions across nearly all categories, according to the Payment Systems Report, released on Thursday by the Reserve Bank of India for the half year ended June 2025.

The latest figures, capturing trends between December and June, highlight a strong growth in debit and credit card usages, PoS terminal transactions, and QR code-based payments. In contrast, paper-based instruments such as cheques have continued their steady decline, reflecting an accelerating shift towards a less-cash economy.

According to data, total payment transaction volumes rose sharply from 32.48 billion in 2019 to 208.49 billion in 2024, while the total value of payments increased from 1,775 lakh crore to 2,830.9 lakh crore during the same period. In the half-year ended June, 125.49 billion transactions were carried out,amounting to %1,572 lakh crore — underscoring the growing reliance on digital modes of payment.