SBI Dominates Credit Card Market as Spending Surge Accelerates Across Banks

State Bank of India (SBI) emerged as the leading credit card issuer in May 2026 after adding the highest number of new credit cards among major lenders, according to Reserve Bank of India (RBI) data. The latest figures also showed that consumer spending through credit cards continued to grow across leading banks, highlighting sustained demand for retail credit and strong consumer spending despite varying rates of card additions among issuers.

SBI added 1.82 lakh new credit cards during May, the highest among the country's top issuers. Spending through SBI credit cards also increased by 2% compared with the previous month, reaching Rs 38,556 crore. The steady growth in both new card issuance and transaction value reflects continued customer adoption of credit cards for everyday purchases, travel, shopping and digital payments.

ICICI Bank ranked second in terms of new card additions during the month, issuing 1.68 lakh new credit cards. Spending on ICICI Bank credit cards increased by 1% month-on-month to Rs 32,818 crore. HDFC Bank, which continues to hold the largest overall credit card customer base in the country, added 1.42 lakh new cards during May while recording the highest total spending among the top five issuers. Card transactions on HDFC Bank's network rose 2% to Rs 59,138 crore during the month.

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Among the other major lenders, Kotak Mahindra Bank added 54,000 new credit cards and recorded one of the strongest spending growth rates. Spending through Kotak credit cards increased by 6% month-on-month to Rs 6,389 crore. Axis Bank also reported healthy performance, adding 52,000 new cards during May while card spending rose 6% to Rs 23,301 crore, indicating strong customer activity despite comparatively lower card additions.

The RBI data points to continued expansion in India's credit card market, with both issuance and transaction volumes remaining on an upward trajectory. Although the pace of customer acquisition differed across banks, all five leading issuers reported positive month-on-month growth in card spending, ranging between 1% and 6%. The trend suggests that consumers are increasingly relying on credit cards for both discretionary and essential purchases.

Industry experts believe the continued rise in credit card usage is being supported by higher consumer confidence, increasing digital payment adoption, reward-based spending and wider acceptance of cards across merchants. As banks continue to expand their customer base through new product offerings and promotional campaigns, competition in the credit card segment is expected to remain strong, with lenders focusing on both acquiring new customers and encouraging higher spending among existing cardholders.

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