NEW DELHI: Since 2023, the volume and value of transactions processed through UPI and credit cards have displaced cash and traditional card usage, signalling a structural shift in how consumers and businesses transact, the data from the Reserve Bank of India (RBI) shows. The UPI ecosystem has seen the most spectacular growth in this period.
The number of its QR codes rose from 24.42 crore in 2023 to 73.84 crore in 2026, showing the rise of small-ticket transactions. The steepest jump came between 2024 and 2025, when the base doubled from 32.14 crore to 64.01 crore.
Credit card penetration has also strengthened. The number of credit cards in force increased from 8.25 crore in 2023 to 11.66 crore in 2026, a rise of over 3.4 crore cards, or roughly 41 per cent. This expanding base has translated directly into higher transaction volumes.
Credit card transactions at point-of-sale (PoS) terminals rose from 14.09 crore in 2023 to 26.75 crore in 2026, nearly doubling in four years. In value terms, PoS spending through credit cards increased from Rs 48,934 crore in 2023 to Rs 75,988 crore in 2026.
The growth is even sharper in e-commerce. Credit card transactions on online platforms climbed from 11.84 crore in 2023 to 26.93 crore in 2026. The value of these transactions rose to Rs 1,23,021 crore. Credit cards are thus consolidating their dominance in higher-value online consumption.
In contrast, debit card usage at PoS has weakened considerably. Debit card PoS transaction volumes declined from 17.43 crore in 2023 to 7.73 crore in 2026. The value of debit card PoS transactions fell from Rs 37,520 crore to Rs 25,513 crore during the same period.
Even though debit cards in force increased from 94.56 crore in 2023 to 103.77 crore in 2026, their role in active retail spending appears to be shrinking relative to both UPI and credit cards.
This shift is mirrored in the physical cash infrastructure too. The number of ATMs peaked at 19.80 lakh in 2024, and declined to 15.99 lakh by 2026.
3.8 lakh ATM reduced FROM SYSTEM
From the 2024 peak to 2026, nearly 3.8 lakh machines were reduced from the system. Even compared to 2023 levels, the ATM network is smaller in 2026. The moderation in ATM infrastructure coincides with falling debit card PoS usage and the expanding dominance of QR and credit-based transactions.