In 2024, credit card lending retained its position as the largest category within consumer credit by gross lending value, with total disbursements estimated at around INR 3.5 trillion. Despite a slowdown in new card issuance and a cautious lending approach by banks following the Reserve Bank of India’s increased risk weights on unsecured credit in late 2023, existing cardholders continued to drive substantial transaction volumes.

Borrowing in Germany was slow in 2024 due to persistently high interest rates, as a direct result of the European Central Bank's (ECB) monetary tightening policies. The ECB's strategy to control inflation led to increased borrowing costs, thereby having a considerable effect on both consumer and business lending.

Consumer credit gross lending and the outstanding balance are set to continue to rise in Morocco in 2024. However, household credit continues to show significant disparities, with a positive correlation between income levels and debt rates in Morocco. The latest report from Bank Al-Maghrib reflects this trend, which indicates that individuals with high incomes exceeding MAD6,000 per month hold the majority of the debt, at 64% with the debt ratio reaching 34% of their income for those earning mor

Consumer credit in Denmark in 2024 saw the continuation of trends already underway - in both gross lending and outstanding balance terms, consumer credit experienced faster growth than mortgages and housing loans. This reflects a continued preference among consumers for short-term borrowing, with consumer credit expanding at a stronger pace compared to housing loans. Within gross lending, card lending has increased its share of total consumer credit, highlighting the growing reliance on credit c

Consumer credit in the Czech Republic saw current value growth in total gross lending slow in 2024, while growth in the overall outstanding balance was only marginally stronger than in 2023. This was mainly due to reduced demand in card lending, the single largest category in gross lending terms by some distance. With inflationary pressures having receded significantly from the highs witnessed in the previous two years, Czechs became less dependent on credit cards to pay for essential needs and

Buy Now, Pay Later (BNPL) services continue to expand in Spain in 2024. Indeed, a 2023 study by Forbes indicates that one-in-three Spanish consumers use BNPL as a payment option. For some years now, consumers and businesses alike have enjoyed the relatively regulation-free space of BNPL, however, in 2023, the European Commission updated regulations around consumer credit to reflect the increased use of alternative and digital credit options, such as BNPL. The Consumer Credit Directive 2 (CCD2) e

Demand for formal consumer credit in Nigeria continues to be affected by low access to credit among households operating within the informal economy. Although the government lifted restrictions on foreign-denominated cards in 2023, the ongoing depreciation of the Naira dampened demand for foreign-denominated credit cards. The situation was exacerbated by rising interest rates from the Central Bank to tackle rising inflation. Higher interest rates effectively reduced demand for large loans, inclu

Ukraine’s consumer credit market in 2024 remained heavily influenced by the ongoing war, initiated by Russia in February 2022. Although the initial shock of the invasion has been absorbed and most people and businesses residing in areas controlled by the Ukrainian government have tried to adapt to the circumstances, the level of uncertainty remained unprecedented. Despite these challenges, Ukraine’s economy and banking sector, supported by aid from the West, saw a positive ending to 2024, with c

Consumer credit registered modest growth in gross lending and outstanding balances over the review period, as ongoing economic uncertainty led many consumers to retain a conservative approach towards borrowing. In 2024, there was a notable slowdown in gross lending as interest rates rose dramatically from 8.5% in June 2023 to 50% in March 2024. Some consumers were put off by the sharp rise in borrowing costs.

Israel’s consumer credit market saw rising demand for home lending in 2024. Loans secured with a lien on a savings account are typically more attractive to consumers due to their lower interest rates compared to other types of loans. However, the segment saw a decline mid-review period, largely driven by shifting market conditions. These loans are often used to fund down payments on houses, but with the housing market cooling significantly, demand for such loans decreased. Rising living costs ha

With credit cards and store cards remaining the primary point of entry to the South African credit system, the flood of generation Z shoppers into the workforce has been driving demand for such lending. Demand for card lending has also benefited from improvements in online safety measures, attracting tech-savvy users, as reflected in the increased usage of digital wallets linked to credit cards. In parallel, the revolving nature of credit cards and store cards is also resulting in users prioriti

Consumer credit rebounded in Hungary in 2024, compared to 2023 which was a challenging year for consumers due to high inflation and increased borrowing costs, with interest rates peaking. However, 2024 brought more favourable conditions, including lower interest rates, reduced APR, and an improved financial outlook. This has led to a renewed willingness for consumers to apply for loans. Additionally, delayed purchases and the launch of new home renovation and energy-efficient transformation prog

In 2024, positive signs of economic recovery reduced demand for consumer credit in Romania, translating into lower growth in card lending to cover everyday expenses. Romanian households enjoyed greater financial stability due to falling inflation although it remained above 5% in 2024, with GDP growth of 3% in the same year. Card lending is often the last resort when Romanians need extra funds due to the high APR rate.

Consumer credit gross lending maintained relatively stable growth in Greece in 2024, as the associated relative stability of the economy inspires stronger consumer spending confidence – despite ongoing cost-of-living crises. Digital loans in particular are driving growth, as the market shifts back into a positive direction. Consumers are interested in purchasing products again, and banks are trying (conservatively) to loosen issuing criteria (in some instances) to gain share.

Consumer credit in Colombia recorded an improved performance in terms of current value growth in gross lending in 2024, while the outstanding balance also rose at a faster pace than in 2023. These results were underpinned by the Central Bank’s decision to steadily reduce interest rates over the course of the year after it had previously tightened monetary policy during the latter part of the review period in an effort to curb inflationary pressures fuelled by the recovery from the pandemic and t

Consumer credit in Sweden saw gross lending on cards increase at a stronger pace than mortgages/housing over 2024. Yet mortgages/housing growth remains much higher in terms of outstanding balances due to the prevalence of home buying in Sweden. Higher mortgage rates in the first half of 2024 were imposed as the policy rate peaked at 4%.

Consumer credit continued to grow in Peru in 2024, albeit at moderate and lower levels than seen in the recent review period. This more moderate growth has been due to the improving economy in the country, thanks to greater GDP growth, inflation levels within the target range, and better job prospects. However, the economic recession that Peru experienced in 2023 significantly affected people's ability to pay their debts, which made them more cautious in taking out any type of credit and also ma

Consumer credit in Portugal benefitted from high inflation and the resultant reduction of households’ purchasing power in 2024. Local consumers have been changing their purchasing habits in recent years, increasingly opting for credit cards and Buy Now Pay Later (BNPL). Appliances, electronics and travel products are among those for which local consumers are mostly resorting to BNPL services. The simplified access to such credit has been contributing to the increasing use of these means of payme

In 2024, consumer credit in Poland saw the value of consumer credit gross lending in 2024 impacted by rising household incomes and demand for financing the purchases with credit cards. Also influencing the category’s progress in 2024 were lower inflation rates than in 2023, real GDP growth stimulated by private consumption and public spending, low unemployment, and a rise in wages, with the latter supporting creditworthiness and more Poles willing to take out consumer loans.

Card lending remains the largest type of consumer credit in Norway in gross lending terms. In 2024, card lending faces little competition in the consumer credit landscape with almost two-thirds of gross lending attributed to card lending in Norway. While card lending decreased during the COVID-19 pandemic due to lower spending, there was a rebound post-pandemic as consumer lifestyles began to normalise. In 2024, card lending continued to strengthen amid improved levels of consumer confidence and

In 2024, consumer credit in Canada reached its highest rate of participation despite ongoing economic pressures, with the number of Canadians holding at least one credit product surpassing 31 million in 2024 - an all-time high, according to TransUnion. This increase has been mainly driven by a surge of Generation Z consumers and new immigrants entering the credit market. The most popular credit products among clients looking for first-time access to credit are credit cards and personal revolving

Non-card lending saw negative pressure in the Netherlands in 2024, due to the increased focus on responsible credit and the enforcement of credit rules. The Netherlands Authority for the Financial Markets (AFM) has identified consumer credit players who were not strict enough with their regulations and checks in issuing credit. These players have now adjusted their acceptance policies, leading to more rejections of credit requests – especially in other personal lending. In addition, the AFM iden

Consumer credit was supported by ongoing efforts towards financial inclusion in Egypt in 2024. The Central Bank of Egypt announced notable growth in the financial inclusion rate in Egypt, stating that it is among the best out of peer countries. This allows for further growth in the consumer credit industry, both through bank credit and through consumer financing credit, as individuals now opt for financing for educational and medical services, sports club memberships, travel and tourism, and man

Consumer credit gross lending saw further strong growth in Indonesia in 2024, along similar lines to the previous year although the rate of growth slowed down. The main factor behind this growth has been the improvement in economic conditions, as well as the expanding car market – particularly the used car market. Promotional activities from players have also helped. The end of the year was a key period for disbursing consumer credit, in the form of home renovation/refurbishment loans, for examp