Lok Sabha Question No. 4088 (UNSTARRED), answered on 2018-08-10
Subject: NFC-enabled Debit and Credit Cards
Ministry: FINANCE
Asked by: Shrirang Appa Barne, PRITAM GOPINATH MUNDE, ANANDRAO  ADSUL, DHARMENDRA YADAV, VINAYAK BHAURAO RAUT, SHIVAJI ADHALRAO PATIL, KUNWAR PUSHPENDRA SINGH CHANDEL, SHRIKANT EKNATH SHINDE

Source: Reserve Bank of India (RBI)

## GOVERNMENT OF INDIA

## MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES

## LOK SABHA UNSTARRED QUESTION No. 4088

To be Answered on Friday, August 10, 2018/Shravana 19, 1940 (Saka)

## NFC-enabled Debit and Credit Cards

4088 . SHRI SHRIRANG APPA BARNE: DR PRITAM GOPINATH MUNDE: SHRI ANANDRAO ADSUL: SHRI DHARMENDRA YADAV: SHRI VINAYAK BHAURAO RAUT: SHRI ADHALRAO PATIL SHIVAJIRAO: SHRI KUNWAR PUSHPENDRA SINGH

Will the Minister of FINANCE be pleased to state:

- (a) whether the use of debit cards at Point of Sale (PoS) terminals has increased during the last one year and the current year and if so, the details thereof along with the percentage increased as compared to last two years;
- (b) whether the Government has fixed 30 billion digital transactions target in the current year, if so, the details thereof;
- (c) whether   the Government has instructedldirected banks to start  issuing Near Field Communication (NFC)-enabled contactless credit and debit cards to expand their use beyond merchant transactions, if so, the details thereof;
- (d) whether payment companies have been experimenting and working to promote the NFCenabled contactless credit and debit cards, if so, the details thereof; and
- (e) the initiative taken by the Government to introduce NFC-enabled cards to promote plastic money particularly in rural India?

## Answer

## The Minister of State in the Ministry of Finance (SHRI SHIV PRATAP SHUKLA)

- (a) Yes sir; As apprised by Reserve Bank of India (RBI), the number of transactions using debit cards at PoS terminals for the financial year 2017-18 was 334.34 crore; which is 39.35% higher than the transactions of Rs 239.96 crore undertaken during 2016-17 .

Digital transactions data along with percentage growth for last two years is provided below:

| Digital Payment Transaction of Debit card at PoS   | Digital Payment Transaction of Debit card at PoS   | Digital Payment Transaction of Debit card at PoS   |
|----------------------------------------------------|----------------------------------------------------|----------------------------------------------------|
| Year                                               | Transaction Volume in Crore                        | Growth %                                           |
| 2017-18                                            | 334.34                                             | 39.35%                                             |
| 2016-17                                            | 239.93                                             | 104.44%                                            |
| 2015-16                                            | 117.36                                             |                                                    |

- (b) As informed by Ministry of Information and Technology (MeitY), for FY 2018-19 the Government has fixed a target of 3013 crore digital transactions for various Public Sector Banks, Private sector banks and Pre-paid Payment InstrumentsNallet operators.
- (c) to (e) MeitY has requested the banks to take necessary action to issue Contactless NFC cards to the Customers, either at the time of the issue of new creditldebit cards or ReCarding of the   existing cards. As informed by banks, promotion of NFC-enabled contactless credit and debit cards is an ongoing process.

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