The global digital payment market size was valued at USD 3.53 trillion in 2018 and is projected to reach USD 19.89 trillion by 2026 in terms of transaction value, exhibiting a CAGR of 24.4% during the forecast period.
Digital payment means dealings completed through digital or online mediums. It means doing the transactions through electronic medium like laptops, pads, smartphones etc. The online payment system has evolved through the time. Many new payment systems have been introduced in the years such as swapping of credit or debit cards on POS machines, scanning QR codes, NFC cards etc. Besides the rising internet penetration is expanding the digital payment market like never before. Digital payments have transformed the payment industry for goods and services.
Bank cards consist of Credit & Debit cards, Prepaid cards, commercial cards, etc. People use credit and debit cards for convenience, safety, and mobility.
Mobile wallets give options to users with digital currency instead of carrying cash. Customers can do the digital banking transactions just by linking their bank account with their wallets. A digital wallet offers the customer to directly transfer from ones account to other, which can be liked to their respective bank accounts.
(UPI) the complete form is United Payments Interface. In this system, various bank accounts are consolidated into a single system. This system facilitates easy money transfer through QR codes or phones nos. hence it removes the requirement of detailed bank information. In India, UPI has gained lot of popularity as a easy mode of digital payment.
Internet and mobile banking have transformed the way customers use banking. Through Internet banking, users can do the banking through the bank’s website, and those who use the bank’s mobile application to access the bank’s offerings are known as Mobile banking.
India is the global leader in digital payments market. In India the National Payments Corporation of India has introduced Aadhaar Enabled Payment System (AEPS) to use Aadhar authentication for banking purposes. In this system customers can their bank Aadhar certified accounts to transfer funds without doing any physical activity. Customers can also make digital payments through the use of AEPS at PoS terminals and micro ATMs.
