India's Mobile Wallet Market To Grow At Over 50 pc By 2021

by CXOtoday News Desk    Jan 24, 2017

digital wallet

The mobile wallet market in India is projected to exhibit a CAGR of over 50% during 2016-2021, on account of growing online transactions, increasing internet penetration coupled with rising trend towards mobile banking, the latest report by TechSci said. 

In 2016, India mobile wallet market observed a huge traction due to demonetisation of the Rs 500 and Rs 1000 currency notes by the government. In addition, government initiatives towards technological innovations by introducing Unified Payment Interface expanded mobile wallet market across the country. 

Further, Reserve Bank of India’s move to increase semi-closed payment instrument limit from USD147.05 to USD294.15 is also anticipated to propel growth in the country’s mobile wallet market during the forecast period.

Growing use of digital platforms for fund transfer, bill payments, recharging, etc., in urban as well as semi-urban areas is expected to push growth of mobile wallets during the forecast period. The research said. 

Also Read: Digital Payment Raising Cyber Threats In India

In 2015, payment transfer dominated India mobile wallet market and the segment is anticipated to maintain its dominance over the next five years as well, on account of ease of sending money to anyone who has a phone number or e-mail id at any point of time. Various end use sectors, such as telecom, banking, transport and retail employ mobile wallet services to make financial transactions instantly. Considering above reasons mobile wallets are expected to gain momentum with even greater pace in India over the coming years.

“Increasing disposable income and rising e-commerce demand in tier I cities such as Delhi, Mumbai, Kolkata, Bangalore, Pune, etc., is expected to fuel mobile wallet market in India during the forecast period. Moreover, the whole demonetization drive has significantly boosted adoption of mobile wallets, and this trend expected gain more momentum in the coming years.”, said Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

“India Mobile Wallet Market By Application, By End User, Competition Forecast & Opportunities, 2012 - 2021″ has evaluated the future growth potential of India mobile wallet market and provides statistics and information on market structure, size, share and future growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment evaluation. Besides, the report also identifies and analyzes emerging trends along with essential drivers, challenges and opportunities present in India mobile wallet market.