2 days ago
India’s Digital Payments Boom Has Yet to Spur Investing
Many people in India use digital payments, but far fewer invest in stocks or mutual funds.
An EY India report says that having the ability to pay digitally does not automatically make investing feel easy.
Some people find investments confusing or worry that their value may change.
Others may not know whom to trust for advice that fits their needs.
The report says tools such as Aadhaar, UPI, and Account Aggregator could make it easier to start investing.
It also says AI could help explain choices and tailor guidance.
But making investing faster is not enough.
People also need clear information, suitable options, and protection as they invest.
An EY India report says India has more than 550 million active UPI users, while its article body cites about 62 million mutual fund investors and nearly 50 million active equity-market participants.
The article headline gives a different mutual fund figure—69 million—than the 62 million cited in the body.
The report says the investment gap is not mainly about access, but about products seeming complex, volatile, unfamiliar, or difficult to assess.
It identifies limited access to trusted guidance tailored to people’s goals and risk tolerance as another barrier to investing.
The report says digital public infrastructure and AI could support simpler onboarding and more personalized guidance, while emphasizing suitability, transparency, and investor protection.
- Who
- The EY India report discusses Indian households, investors, and financial institutions.
- What
- The report examines why digital financial access has not led to equally broad participation in mutual funds and equities.
- Where
- India.
- When
- The article cites UPI transaction figures for September and August but does not specify when the report was published.
- Why
- The report says investments can seem complex, volatile, unfamiliar, or difficult to evaluate, and that trusted, suitable guidance may be limited.
Key facts
- Active UPI users
- More than 550 million, according to the report as described in the article.
- Mutual fund investors
- About 62 million in the article body; the headline says 69 million.
- Active equity-market participants
- Nearly 50 million.
- UPI transactions in September
- 24.07 billion.
- UPI transactions in August
- 24.51 billion.
- Year-on-year UPI transaction growth
- 23%.
- UPI international reach
- The article says UPI is accepted in 11 other countries.
Quotes
EY India report
A report on investor behaviour in India.
“The implications for financial institutions are profound. Product-led growth must evolve into outcome-led participation. Digital access must become guided access. Investor education must move beyond awareness and toward measurable financial capability. Advice must be industrialized while preserving suitability, transparency and trust. Winning institutions should not simply distribute more products; they should help customers make better financial decisions and remain invested throughout market”
livemint.com
“Many households are financially connected, economically capable and digitally active, but remain under-invested because market-linked products feel complex, volatile, unfamiliar or difficult to evaluate.””
livemint.com
Sources
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