The Indian payments industry is likely to grow to $49 trillion in value by 2028 recording a 10% growth from the level of $30 trillion seen at the end of 2023, estimates by Boston Consulting Group (BCG) exclusively shared with ET shows. BCG also projects that the transaction volumes will outpace total transaction values to grow at 25% by 2028 to reach 434 billion. It was at 144 billion at the end of 2023. “We will see that the growth in payments volume will outpace value growth because margins from interchange will continue to shrink,” said Yashraj Erande, India Leader, Financial Institutions Practice, BCG. “We will continue to see cost optimisation due to greater automation and AI.” Revenues from the Indian payments industry to expected to grow at a tepid pace of 11% to reach $70 billion by 2028. It was at $41 billion at the end of 2023.