NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Monday, March 28, 2016

Banks are taking the battle to mobile wallet companies, armed with their readymade payment systems, wide merchant network and an on tap customer base, attempting to reclaim a turf which just a couple of years ago was their fiefdom.

In the past year, large lenders like ICICI BankBSE -3.86 %, State Bank of India, Axis BankBSE -3.37 % and HDFC Bank, which together control around 40 per cent of local banking assets, have launched new payment instruments as they seek to prevent customers from moving money to newly emerging non-bank companies.

SBI’s Buddy, ICICI’s Pockets, HDFC Bank’s PayZapp and Axis’ Lime are the new kids on the block, challenging the likes of Paytm, MobiKwik and Citrus Pay.