In their Digital Payments 2020 - the making of a $500bn ecosystem in India report The Boston Consulting Group and Google highlight the four major global shifts that are transforming the Indian payment space:

• ongoing digital and technology revolution, led by the ever increasing penetration of smartphones and Internet on mobile
• entry of several non-banking institutions offering payment services and solutions
• customers are becoming more demanding and expect instantaneouos and one-touch payment solutions
• several progressive changes in regulatory framework.

Evolution of consumer digital payments

BCG view of the evolution of consumer digital payments and when there will be mainstream adoption, shows what to expect:

India market

There has been significant payment activity in India over the last 3-4 years:

On the basis of this activity authors believe that India is becoming a digital country and will be #2 globally  by 2020:

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CTMfile take: This enthusiastic report doesn’t really show how the payment banks are going to fund all this development. However, it is clear that India digital payments - mainly based on smartphones and the Internet - are going to increase dramatically. This will open up new business models and markets. The question for corporate treasurers is: “How are you going to exploit these new business opportunities?”