How much money did Paytm, Mobikwik, and Freecharge make from demonetization?

Fintech startups are proving to be among the biggest benefactors of the government’s decision to demonetize Rs500 and Rs1,000 currency notes.

E-wallet companies like Paytm, PayU India, MobiKwik, and Freecharge have been seeing great results in GMV and the number of transactions since the move.

According to an Assocham-RNCOS joint study, the mobile payment transaction volume is likely to register a compounded growth rate of over 90 percent to reach 153 billion by FY 2021-22. This is against only 3 billion transactions in FY 2015-16.

Mobile payment transaction value in India is also likely to register over 150% CAGR and cross Rs 2,000 trillion by FY 2021-22 from just over Rs 8 trillion as of FY 2015-16 Indian M-wallet market study said.

ALSO READ: Demonetization effect: You can book a helper to stand in ATM lines for Rs 90 with this start-up

With over one billion mobile subscribers, mobile banking segment contributed the largest share of 49% in Indian mobile payment market with over 386 million transactions worth Rs 4,000 billion in FY 2015-16, with the majority being money transfers, the study noted.

Another new payment system, UPI, is yet to be supported by most supermarkets and retail stores even though UPI payment system is extremely simple to implement and does not require any new hardware.