Not enough ATMs: RBI
Growth of card acceptance infrastructure like automated teller machines (ATMs) and point-of-sale (PoS) terminals is not on a par with that of card issuance.
This was observed by the Reserve Bank of India (RBI) in its concept paper on card acceptance infrastructure released on Tuesday. "The growth in acceptance infrastructure has not kept pace with the growth in cards. While debit cards registered a growth of 64 per cent between October 2013 and October 2015, during the same period ATMs increased by around 43 per cent, while POS machines increased by around 28 per cent," the paper said. Another disconcerting feature is that the rate of growth in setting up card acceptance infrastructure has also slowed down during these three years.
"Debit cards vastly outnumber the volume of credit cards issued in the country. Further, a high number of debit cards have been issued in recent times under the Prime Minister's Jan Dhan Yogana, especially to customers in rural areas and smaller towns," the RBI said. According to the concept paper, the lower growth of ATM and PoS terminals, both in terms of numbers and geographical spread, has impacted card use.