SPENDING VIA MOBILE APPS FALLS

Despite an increase in currency circulation, mobile wallet apps are growing 60 per cent after January. However, the amount spent using the wallets has fallen, according to a study.

Ms Swati Taneja Kapoor from RedSeer said that the transaction value and number of transactions increased in the first quarter of the financial year. But, the average transaction value per customer declined from $5 (about `322 on Sunday) to $4.4 (about `283).

The growth of mobile wallets began in the last quarter of financial year 2015 with a market value of $886 million.

The growth rate increased by 57 per cent in the last quarter of 2016 due to demonetisation and 60 per cent in the first quarter of 2017, according to the survey. The report said the merger of mobile wallet firms had led to more transactions.