Digital payments across India saw a 12.6% YoY rise as of March 31, 2024, according to the Reserve Bank of India's (RBI) index measuring online transaction adoption. The RBI's Digital Payments Index (RBI-DPI) stood at 445.5 at the end of March 2024, compared to 418.77 in September 2023 and 395.57 in March 2023. "The RBI-DPI index has increased across all parameters, driven by significant growth in payment performance and payment infrastructure across the country over the period," the Reserve Bank of India stated in a release.
The central bank introduced the composite RBI-DPI in March 2018 to capture the extent of digitization of payments nationwide. The index comprises 5 broad parameters to measure the deepening and penetration of digital payments over different periods. These parameters are Payment Enablers (weightage 25%), Payment Infrastructure Demand-side factors (10%), Payment Infrastructure Supply-side factors (15%), Payment Performance (45%), and Consumer Centricity (5%). The index has been published semi-annually since March 2021, with a lag of four months.
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