Indian BNPL Market To Be Worth $14.3 Bn In 2023: Report

A new report suggests that Buy Now Pay Later (BNPL) market in India is expected to reach USD 14,289.4 million (USD 14.28 billion) in 2023.

The report says that BNPL payment adoption is expected to grow steadily over the forecast period, recording a CAGR of 12.2 per cent during 2023-2028. The BNPL Gross Merchandise Value in the country will increase from USD 11,628.8 million in 2022 to reach USD 25,387.2 million by 2028, it said.

The study revealed that medium to long term growth story of BNPL industry in India remains strong.

“The BNPL payment industry in India has recorded strong growth over the last four quarters, supported by increased ecommerce penetration,” the report mentioned.

The buy now pay later space has grown significantly amid the growing traction for flexible payment methods among consumers in Tier II and Tier III cities of India. The trend is expected to further accelerate over the next three to four years.

The payment method has resonated with consumers across age groups and classes and has become the default payment choice for many in the country, the report said.

With the demand expected to further increase in Q3 and Q4 FY23, due to year-end holiday trends, the ResearchAndMarkets.com report expects more firms to record strong growth in the travel segment. This will also drive more strategic alliances in the Indian market from the short to medium-term perspective.