There was a 5.51 per cent increase in average monthly cash withdrawals from automated teller machines (ATMs) in FY2024 despite rising Unified Payments Interface (UPI) payments in India. Cash logistics company CMS Infosystems in its report said withdrawals rose from Rs 1.35 crore in FY23 to Rs 1.43 crore in FY24. In 10 of the 12 months of FY24, the rate of increase in average monthly ATM cash withdrawals over the previous year was higher than the FY23 monthly average of 7.23 per cent.
The report noted that ATM withdrawals in metro increased by 10.37 per cent, followed by a 3.94 per cent increase in semi-urban and rural (SURU), and a 3.73 per cent increase in semi-metros.
Karnataka topped the chart with the highest absolute withdrawals per ATM, with an annual average withdrawal of Rs 1.83 crore, followed closely by Delhi at Rs 1.82 crore and West Bengal at Rs 1.62 crore.
In FY24, consumption hotspots in ATM withdrawal in India were Delhi and Uttar Pradesh in the north, Tamil Nadu and Karnataka in the south, and West Bengal in the state.
In the case of public sector banks, 49 per cent of the ATMs are located in metropolitan and urban areas while ~51per cent of the ATMs are located in SURU. Correspondingly, in the case of private sector banks, ~64 per cent of the ATMs are located in metropolitan and urban areas while 36 per cent of the ATMs are located in SURU to enable consumption spending.
In FY24, 14 out of 23 States & Union Territories witnessed 6.45 per cent YoY growth in the annual average ATM withdrawal, and 9 States and Union Territories saw an average 4.14 per cent YoY decline.
In contrast, India recorded about 131 billion UPI transactions with a total value of Rs 200 lakh crore in FY24, finance minister Nirmala Sitharaman said on Monday. In FY23, about 83.7 crore transactions worth Rs 139 trillion were done through UPI, National Payments Corporation of India (NPCI) data stated.
Top players in the UPI field are PhonePe (48.3%) and Google Pay (37.6%). They together dominate 86% share of the UPI market by volume (number of transactions). Paytm Payments Bank, which was barred by the Reserve Bank of India (RBI) from conducting any more operations from March 15, was a distant third. The next in line are Cred and the Axis Bank app, which have a market share of less than 1% each.