Wednesday
December 21
2016

India adding 1 million new m-wallet users every day

India is adding about a million new mobile wallet users every day, according to industry sources.

The rapid increase in new users comes on the back of the cash crunch, which has hit the country ,following the government’s move to demonetise 500 and 1,000-rupee banknotes. The situation is likely to take more time to normalise.

The biggest beneficiary of the rise is Paytm, the country’s largest mobile wallet company, which is adding more than half a million new users every day, and has crossed 170 million wallet users. Its nearest rival, MobiKwik, which is adding 2.5-3 lakh new users, followed by Snapdeal-owned Freecharge.

“This is the biggest change in India becoming cashless… new features such as point-of-sale functionality, merchant acquisition and ease of use are helping to increase the base faster,” said Vijay Shekhar Sharma, founder and CEO of Paytm.

Since demonetisation, Paytm has added 20 million new wallet users in small and big cities, resulting in millions of transactions every day across small and big merchants. They are used for paying bills, online shopping, and even money transfers.

The government’s initiatives have also helped.

Source: Hindustan Times (link opens in a new window)

Categories
Impact Assessment
Tags
cashless, financial inclusion, government, mobile banking, mobile money