Mastercard, Visa losing market share to local rivals: FM
transactions were worth $51 billion in August, according to central bank data.
Jaitley said Rupay’s total transactions had leapt to ₹8,430 crore as of September, from ₹1,100 crore before demonetisation. Total transactions done using UPI had jumped to ₹59,800 crore from ₹50 crore in October 2016, around the time it was launched.
reported last week that Mastercard complained to the Office of the US Trade Representative on June 21 that Modi “associated the use of Rupay cards with nationalism, claiming it serves as ‘kind of national service’.”
The Mastercard note said that while Modi’s digital payments push was “commendable”, the Indian government had adopted “a series of protectionist measures” to the detriment of global companies.
The story sparked a backlash on social media against Mastercard in India, one of the world’s biggest payments growth markets.
Several people said on Twitter they had asked their banks to replace their Mastercard with Rupay, with some using the hashtag #Boycottmastercard to voice concerns.
One user posted a picture of a Mastercard cut into pieces, while another uploaded a graphic with a Mastercard logo on a toilet flush. A spokesman for the Delhi arm of Modi’s ruling party, the Bharatiya Janata Party, said he had asked his bank to cancel his Mastercard and switch to Rupay.
Mastercard did not reply to emailed request for comment on the social media backlash.
Ashwani Mahajan, who heads an economic group, Swadeshi Jagran Manch, which is linked to the ideological parent of Modi’s party, said on Thursday that companies such as Mastercard should be “competing with Rupay, not complaining to the U.S. government”.
“They have enjoyed their market share for so long, we have the right to protect and promote our economic interests,” Mahajan said.