Home / Industry / Banking /  ICICI Bank continues to record growth in credit card spends in September 2021
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ICICI Bank, one of India’s leading private sector lenders has surpassed SBI Cards in credit card spending for the second consecutive month in September 2021. The private sector lender reported credit card spending of 17,268 crore in September 2021, compared to 15,271 crore in August 2021, a growth of 13 per cent as per the latest data by the Reserve Bank of India (RBI).

Comparatively, credit card spending by SBI Cards has grown marginally from 14581 crore in August 2021 to 14698 crore in September 2021. With the fear of the third wave of COVID-19 eased and the festive season beginning, the overall industry data showed record credit card spends of more than 80,400 crore in September alone, a growth of 2496 crore compared to the previous month. Out of 2496 crore, a substantial portion of the growth in spending, i.e. 1997 crore was contributed by ICICI Bank resulting in 21.46 per cent market share in total spending through credit cards. ICICI Bank gained 1.87 per cent in credit card spending market share from August to September 2021 against which most of the other large credit card issuers have witnessed negative growth.

Looking at the new credit card issuances, RBI data reveals that the industry has added more than 10 lakh credit cards in September, taking the total credit card outstanding to 6.5 crore. HDFC and ICICI Bank acquired 2,44,000 and 2,34,000 credit card customers respectively. Axis Bank added over 2,00,000 cards, while SBI Cards added 1,75,000 new credit cards.

The market share loss momentum of HDFC Bank has continued for 10 months in a row. The largest private bank’s market share decline in September 2021 vs August 2021 was clearly seen for ICICI Bank, SBI Cards, Axis, Kotak, among others. The biggest beneficiary of HDFC Bank’s loss has been ICICI Bank followed by SBI Cards.

As per the report, other banks like HDFC Bank credit card spending have witnessed a dip of 1.35 per cent taking the total spend down from 20650 crore in August to Rs. 20221 crore in September, a decrease in growth by Rs. 429 million. SBI Bank and Axis Bank have also seen a dip in their credit card spending.

In terms of the outstanding number of credit cards, HDFC Bank continues to remain the dominant force in the market with a market share of 23.05 per cent, followed by SBI at 19.35 per cent and ICICI Bank at 17.98 per cent.

The top four players have a huge market share of 71.93 per cent in the Indian credit card market.

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