Axis Bank to tap into rural and semi urban markets

There has been a consistent rise in income in India’s semi-urban and rural markets and this provides a great opportunity to the banking industry to augment the size of the country’s credit card market. Keeping a close eye on these developments, Axis Bank is aiming to capture a greater share of the burgeoning market, according to a top company official said on Monday.

India is witnessing rapid growth in consumer spending and by 2026, it is expected that two out of every three transactions will be via digital modes of payments, Axis Bank Managing Director and Chief Executive Officer Amitabh Chaudhry said.

“India is headed for interesting times, it is one of the fastest growing economies in the world and is well on the journey to becoming a USD 5 trillion dollar economy. Also, we have been seeing some rapid fundamental shifts, especially in the banking and financial industry like consumerism and disruption etc.

“And that is why large private banks like us have made investments to improve their operations and modernise the technological architecture. Also, I believe the real differentiation would come from being distinctive and developing exclusive customised products led by innovation,” Chaudhry said on the launch of the co-branded credit card with Samsung and payments solution provider Visa.

There have been numerous efforts from the central government and RBI to make India a digital economy, he said. The RBI’s announcement to launch a central bank digital currency and innovations such as UPI payments are steps in the same direction.