India's active credit cards top 120M in May; spend growth slows to 6.3% as issuers turn cautious
Net card additions surged 34% YoY to 1.02M in May, lifting the active base past 120M. But spends rose just 6.3% YoY to ₹2.02 lakh crore, with per-card spend at ₹16,778. SBI Cards led issuers as lenders calibrate unsecured exposure amid stress in lower-ticket retail credit.
What happened
RBI Credit Card Industry · India's active credit cards crossed 120 million in May with net additions up 34% YoY, though spending growth slowed to 6.3%. SBI
Key facts
- 120 million active cards
- 1.02 million net additions
- 34% YoY additions growth
- ₹2.02 lakh crore spends
- 6.3% YoY spend growth
- 8.3% YoY cards in force
- ₹16,778 spend per card
Why this matters
Stress in lower-ticket retail credit may surface acquisition targets among smaller issuers or co-brand portfolios as larger players consolidate share.
What to watch
- RBI monthly card data: spend/card crossing below ₹16,000
- RBI Financial Stability Report comments on unsecured retail
- SBI Cards stock reaction to monthly disclosures
- Festive season spend prints (Sep-Nov)
- Any RBI circular on credit card fees, EMI disclosures, or risk weights
- Co-branded card portfolio migrations (e.g., post-tie-up expiries)
- Track SBI Cards Q1 FY26 results for GNPA trajectory and credit cost guidance
- Watch HDFC Bank and Axis card spend disclosures for premium vs mass split
- Monitor co-branded partnerships (airlines, e-commerce) as differentiation lever
- Position for UPI-on-credit-card volume cannibalizing low-ticket card swipes
- Screen NBFC unsecured books (Bajaj Finance, Poonawalla) for early stress signals