India POS Terminals Market Size

India POS Terminals Market Analysis

The India POS Terminals Market size is estimated at USD 33.26 billion in 2024, and is expected to reach USD 63.17 billion by 2029, growing at a CAGR of 11.49% during the forecast period (2024-2029).

The market is increasing due to more and more retail stores opening in India because people are buying more things. This means there is a greater need for machines to accept payments. Also, more people in India are using digital money instead of cash, so stores also need these machines to accept those payments.

• India has a large market for POS terminals. These machines help people pay for things using their phones or cards instead of cash. The market for these machines is growing because more and more people in India are using digital payments instead of cash. As more and more people in India use digital payments instead of cash, more stores and businesses want to use special POS terminals. These machines help them to accept digital payments from customers. In the past five years, India has seen a big increase in the use of machines that let people pay for things using a card. There are now more than 6 million of these machines in the country.
• As per the Reserve Bank of India (RBI) dataset, 61.69 lakh POS terminals were recorded as of May 2022. The COVID-19 pandemic created a demand for contactless payments, increasing the need for POS terminals equipped with NFC, RFID, and other technologies accepting payments from contactless chip cards or digital interface cards.
• Further, the Reserve Bank of India (RBI), the government, and other ministries have put out continuous effort and commitment, which has resulted in the exponential expansion of digital payments, with many of the innovations generating attention on a global scale. Along with card payments, the Aadhaar-enabled Payment System (AePS), Unified Payments Interface (UPI), Immediate Payment Service (IMPS), QR-based payments, and National Electronic Toll Collection (NETC) have been the main factors in steadily transforming the cash-based economy towards a less-cash economy.
• The import of PoS terminals from other nations was hampered as a result of the COVID-19 outbreak into a cashless, digital payment-based economy. The demand for contactless payment options during the COVID-19 pandemic and a considerable alteration in consumer purchasing habits following demonetization fueled the expansion and adoption of PoS terminals in the nation.
• Also, evolving consumer preferences, technological advancements, and regulatory and governmental changes, the world of payments has been changing dramatically. With individual goods taking the lead in transforming the Indian payment landscape, India is keeping up with these developments and has experienced extraordinary growth.
• Most transactions made at merchant locations are handled by the card industry and its infrastructure for acceptance. At the current time, India is significantly dependent on foreign nations for the import of point-of-sale (PoS) terminals, which comes at a high cost to the purchasing community.
• The POS terminal market in India is being driven by a number of factors, including rising demand for mobile POS terminals, rising acceptance of mobile wallets, favorable legislation, expanding e-commerce and the entry of new businesses, rapid urbanization, and technical innovation.
• However, the shortage of adequate PoS terminals on the market restricts future industry expansion. High installation and maintenance fees, security issues related to theft, and other related expenditures further impede the market's steady expansion.