Indian Credit Card Spending Soars in July 2024
In July 2024, Indian consumers showed a significant increase in their credit card spending, marking a 19% rise compared to the same month last year. According to a report by SBI Securities, the total expenditure by credit card users across the country reached Rs 1.7 trillion.
This increase highlights the growing reliance on credit cards for transactions, reflecting broader economic trends and consumer confidence. The report also noted a 39% surge in transaction volumes, reaching a total of 38.4 crore transactions in July 2024.
Among the banks, HDFC Bank emerged as the leader in terms of transaction volumes, with its credit cards facilitating 9.9 crore transactions during the month. ICICI Bank followed closely with 7.1 crore transactions, while SBI secured the third position with 6.3 crore transactions.
In terms of transaction value, HDFC Bank again led the way, with a total spend of Rs 44,369 crore through its credit cards in July. ICICI Bank and SBI followed with Rs 34,566 crore and Rs 26,878 crore, respectively.
Additionally, the average transaction value (ATV) saw a marginal increase of 1.4% month-on-month in July 2024. This marks the first increase in ATV in ten months, suggesting a shift in consumer behavior towards higher-value transactions after a period of stagnation.
Overall, these figures reflect the growth of credit card usage in India, driven by increased consumer confidence and the convenience offered by credit card transactions.
Doubts Revealed
Credit Card Spending -: This means the amount of money people are using their credit cards to buy things.
HDFC -: HDFC is a big bank in India. It helps people keep their money safe and gives loans.
ICICI -: ICICI is another large bank in India. It also helps people with their money and loans.
SBI -: SBI stands for State Bank of India. It is one of the oldest and biggest banks in India.
Rs 1.7 trillion -: This is a very large amount of money. Rs stands for Rupees, which is the currency used in India.
Transaction volumes -: This means the number of times people used their credit cards to buy things.
39% -: This is a percentage that shows how much something has increased. Here, it means people used their credit cards 39% more times than before.
38.4 crore -: A crore is a unit in the Indian number system. 38.4 crore means 384 million.
Average transaction value -: This is the average amount of money spent each time someone used their credit card.
Consumer confidence -: This means how much people believe they can spend money without worrying too much about the future.
