Mumbai: Consumer spending on credit cards fell for the first time since July, signalling an end to the festive season that had begun with Onam.
Credit card spends fell more than 12% sequentially, with average spends coming around ₹14,280 for the month of November, compared with ₹16,343 in October, data released by the Reserve Bank of India (RBI) showed.
At an aggregate level, credit card spends continued to breach the ₹1 lakh crore mark for the ninth consecutive month.
Credit card spends per card on e-commerce platforms stood at around ₹8,495 versus ₹9,473 in October. “Going forward, we expect card expenditure to moderate further over the next couple of months due to the end of festive season and inflationary impact on consumer spending,” said Bunty Chawla, analyst, IDBI Capital. Average credit card spends were at ₹13,857 in June and ₹14,478 in July.
The number of transactions per card also declined, in line with the reduction in expenditure per card – at 2.9 transactions versus 3.2 in October.