GST 2.0 Triggers Fivefold Jump in Credit Card Spending in Just 3 Days

The rollout of GST 2.0 has given a big push to consumer spending. In just the first 3 days, credit card transactions jumped 5 times, touching ₹20,000–25,000 crore daily compared to the usual ₹5,000–6,000 crore.

Banks See Strong Growth

SBI Card reported growth across both daily needs and discretionary spending. BOBCARD saw a 40% rise in spending in just 2 days, while RBL Bank noted a 20% jump in demand, crediting GST relief and festive sentiment for the surge.

Festive Campaigns Add Fuel

Aggressive festive sales and bank-led offers further boosted demand. SBI Card launched its Khushiyan Unlimited campaign, offering 1,250+ cashback and discount deals across 2,900 cities. Popular categories include mobiles, laptops, jewellery, and groceries, with EMI schemes driving big-ticket purchases.

Market Impact and Sector Gains

After a weak August, the September surge signals strong momentum. HDFC Bank, SBI, and IndusInd Bank gained market share, while ICICI and Axis Bank saw declines. E-commerce transactions dipped in August but are now picking up pace with festive buying.

Automobile and E-commerce Boom

The GST 2.0 rollout also sparked record sales in automobiles. Maruti logged its best-ever day with 80,000 enquiries and 30,000 car deliveries. Hyundai and Tata Motors also reported record sales. In e-commerce, categories like fashion, home essentials, and TVs saw sharp growth, with 30–35% higher sales reported on platforms like Flipkart.

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Conclusion

GST 2.0 has unleashed a wave of consumer spending, boosted by tax reforms, festive campaigns, and digital sales. With credit card usage at record highs and strong auto and e-commerce demand, Q3 is set for a robust start in retail finance.

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