According to a new report, expenditure on online purchases by Indian consumers is expected to increase by 60 per cent by 2020, as reported by Business Standard. The report, “PayPal IPSOS Cross-Border Consumer Research 2018”, was published by the pioneering company of digital payments, PayPal.
While online expenditure in India stood at Rs. 4.73 lakh crore for 2018 (till October), it is set to increase to Rs. 7.57 lakh crore by 2020. Commenting on the widespread use of digital payments, the report stated, “The research highlights that 87 per cent of the Indians surveyed have shopped online in the last 12 months.”
The report also reflected the increasing use of mobile phones by Indians to shop online. While Rs. 2.98 lakh crore has been spent so far in 2018 by mobile online shoppers; this figure is expected to increase to Rs. 5.76 lakh crore by 2020, registering a growth of 93 per cent.
NDA government's demonetisation has helped drive India towards a cash-less economy and provided the necessary boost to digital payments. Also, the proactive roles played by India’s central bank, the Reserve Bank of India, cannot be discounted. Schemes like Pradhan Mantri Jan Dhan Yojana, the UPI (Unified Payments Interface) system and also the widespread distribution of RuPay debit cards are some of the notable milestones in this regard.