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According to the PwC report titled The Indian Payments Handbook – 2022-27, UPI transactions are likely to reach 1 billion per day by 2026-27, accounting for 90 per cent of the retail digital payments in the country. Unified Payments Interface (UPI), which is driving the digital payments revolution, accounted for about 75 percent of the total transaction volume in the retail segment during 2022-23. The Indian digital payments market saw steady growth at a Compound annual growth rate (CAGR) of 50 percent (volume-wise) and is expected to reach 411 billion transactions in FY 2026-27 from 103 billion in FY 2022-23. While credit card issuance is expected to grow at a healthy CAGR of 21 per cent in the next five years, debit card issuance is expected to have a stagnant growth with a CAGR of 3 per cent in the same period.
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