SBI Card loses ground while ICICI rebounds: How India’s biggest card issuers performed in July

India’s credit card market regained momentum in July, but the recovery was uneven among the country’s largest issuers. While ICICI Bank staged the strongest sequential rebound and Axis Bank also recovered, SBI Card saw its card spends decline month-on-month after a sharp jump in June. HDFC Bank continued to dominate the market, although its growth remained below the industry pace, according to a report, Monthly Credit Card Insights: July 2026, published by Asit C. Mehta Investment Interrmediates Ltd.

HDFC holds the top spot

Total credit card spends rose 3.4% month-on-month (MoM) to ₹2,081 billion in July, translating into 7.4% year-on-year (YoY) growth. However, the annual growth rate moderated from 9.9% in June, suggesting that the broader recovery remained measured.

HDFC Bank retained its lead, accounting for 28.9% of industry card spends in July. Its spends grew 1.3% MoM and 11.9% YoY, meaning it expanded faster than the overall market on an annual basis but lagged the industry sequentially. HDFC’s spending market share increased 118 basis points (bps) YoY, although it slipped 59 bps from June.

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July brings a setback

SBI Card was the biggest sequential loser among the top four issuers. Its card spends declined 3.6% MoM, despite recording a robust 21.6% YoY increase. The monthly decline was entirely driven by online spending, which fell 5.7%, while point-of-sale (POS) spending increased 0.8%.

SBI’s market share nevertheless stood at 19.0%, up from 16.8% a year earlier, making it the largest YoY share gainer with a 223-bps increase. However, it lost 138 bps MoM, the largest sequential decline during the month.

ICICI stages the strongest sequential recovery

ICICI Bank provided the sharpest recovery among the four largest issuers. Its spends jumped 8.3% MoM, although they remained 5.9% below July 2025. ICICI’s market share increased 75 bps MoM to 16.4%, but it remained the biggest YoY share loser, down 231 bps over the past year.

The July improvement therefore represents a recovery from a weaker base rather than a complete turnaround in its annual performance.

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Axis rebounds as competition intensifies

Axis Bank also recovered, with card spends rising 7.4% MoM and 4.6% YoY after declining in June. Its spending market share stood at 11.4%, down 30 bps YoY.

The competitive picture is also shifting beyond the top four. Collectively, HDFC, SBI, ICICI and Axis lost about 80 bps of spending share MoM to mid-sized and foreign banks.

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PSU banks gain share as private lenders give up ground

At the broader industry level, PSU banks increased their share of card spends from 19.5% to 22.2% over the past year, a gain of about 265 bps, while private banks ceded roughly 318 bps. SBI remained the biggest YoY gainer, while ICICI and IndusInd Bank were the key drags among private lenders.

July’s numbers therefore show a market in transition: HDFC remains the clear leader, SBI retains strong annual momentum but lost ground sequentially, while ICICI and Axis regained traction. At the same time, PSU and mid-sized banks are gradually taking a larger share of industry spending.

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