For the month ending July 2017, number of transactions using Prepaid Payment Instruments (Mobile Wallets and PPI Cards combined) increased by 6% to 270.2 million as compared to 255.65 million in June 2017, and grew 247% compared to 77.85 million in July 2016, according to data from the Reserve Bank of India. The amount transacted went up 16% month on month to Rs 9,856 crores from Rs 8,507 crores, while grew 85% year on year from Rs 5,340 crores in July 2016.
Much of growth happened in mobile wallets, which increased 6.2% month on month to 235.46 million transactions from 221.63 million, but were up 296% year on year from 59.45 million transactions in July 2016. Amount transacted using Mobile Wallets grew 30.6% month on month – to Rs 6,934 crores from Rs 5,310 crores, but grew 151% year on year from Rs 2,760 crores in July 2016.
The impact of demonetization, which was initiated on November 8th 2016, is evident in the chart below, with the number of transactions and amount transacted growing rapidly for PPIs in December 2016, but continued growth appears to be tricky at this point in time:
Number of transactions for PPIs (wallets + PPI Cards) increased by 14.6 million in July 2017. Total amount transacted went up Rs 1,349 crore.
Number of transactions for mobile wallets grew by 13.8 million in July 2017 while the total amount transacted was also up by Rs 1,624 crore. The highest decline in Mobile wallet transactions happened in May 2017. In the previous month (June 2017), number of transactions had decreased by 20 million, and the amount transacted had also declined by Rs 1,884 crore which was the highest decline ever.
With more increase in the amount transacted than the number of transactions for the current month, the average amount per transaction has grown. In July 2017, average amount per transaction for Mobile Wallets was Rs 365. A year ago it had been Rs 686.
Data Source: RBI