UPI Boom Vs Credit Cards: Why Card Companies Could Still See Strong Growth In India

India’s rapid shift to UPI has raised questions about the future of credit cards and whether card companies can continue to grow. Despite UPI’s explosive volumes, credit card spends have continued to grow at a healthy pace, while rising incomes and higher discretionary spending could support further adoption. Credit cards also offer a key advantage through interest-free credit periods, particularly for higher-ticket purchases. George Thomas, Fund Manager- Equity, Quantum AMC, explains why the growth of digital payments may not necessarily hurt credit card companies and how credit on UPI and RuPay-linked credit cards could create new opportunities for the sector.