Local market tops Visa tally as card usage shows uptick

MUMBAI: India has emerged as the largest market for Visa debit and prepaid cards in the Asia-Pacific, accounting for about 3.39 crore cardholders as on December 31, 2006, followed by Thailand and South Korea where the company had about 1.39 crore and 1.16 crore customers, respectively.

This amounts to about 62% of the total debit and prepaid card transactions.

According to a study carried out by Visa Asia Pacific, the total card sales volume has increased by 40.2% as on December 31, 2006 compared to last year. The number of credit cards has increased by 39.5% compared to 2005, touching 1.39 crore. Total debit card numbers have also increased by 34.2% from 2005.

“In India, debit or prepaid programs have shown good consumer take-up. At the end of last year, seven out of ten Visa cards in India were debit or prepaid,” said Santanu Mukherjee, country manager of South Asia, Visa International Asia Pacific.

“Debit cards create a more exclusive relationship between the bank and the consumer, since the card is linked to a personal banking account. Debit and prepaid cards provide a greater convenience for consumers,” said Rahul Khosla, executive vice-president and general manager, products group of Visa International Asia Pacific.