In July 2025, credit card spending in India soared to an unprecedented ₹1.93 lakh crore, marking a 6% month-on-month increase and a 12% year-on-year jump, according to the Reserve Bank of India (RBI). This signifies the highest monthly credit card spends ever recorded in the country.
Card usage is set to widen further, as RuPay credit cards on UPI open a new revenue stream for banks.
Breaking Down the Growth
- Point-of-Sale (POS) Transactions: Up 4.3%, reaching ₹70,380 cr.
- Other Card Transactions: Rose by 6.7%, totaling ₹1,23,469 cr.
New Credit Cards Issued
July also saw a surge in new credit card issuances, with 4.26 lakh new cards added, pushing the total active credit cards to 11.16 crore.
Sector Highlight: Bank-wise Momentum
- HDFC Bank led the growth, adding 3.15 lakh cards, growing its base to 24.8 million.
- SBI Cards added 66,640, reaching 21.2 million cards.
- ICICI Bank rebounded with 67,664 additions (after earlier losses), reaching 18 million.
- Axis Bank added 1.22 lakh cards.
- Kotak Mahindra Bank saw a modest rise of 1,759 cards.
What It Signals
- The surge in spending and new issuances suggests a revival in unsecured lending and improved consumer sentiment.
- According to Motilal Oswal’s Nitin Aggarwal, “incremental delinquencies have plateaued,” pointing toward more prudent lending and easing credit cost trajectories.
The Economic Times
Summary Table
| Metric | Value |
|---|---|
| Credit Card Spending (July 2025) | ₹1.93 lakh crore |
| MoM Growth | ~6% |
| YoY Growth | ~12% |
| POS Transactions | ₹70,380 crore (↑4.3%) |
| Other Card Transactions | ₹1,23,469 crore (↑6.7%) |
| New Cards Issued | 4.26 lakh |
| Total Active Cards | 11.16 crore |
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