August 5, 2019
Credit Card Processing
Digital Payments Impact on ATM Trends Globally!
You’ve probably noticed how digital payments and mobile wallets are becoming the new normal—whether it’s through UPI, Google Pay, Paytm, or PhonePe—and that’s no surprise, as ATM visits quietly decline worldwide. With more people choosing cashless transactions and contactless payment methods, the way we access money is changing fast. Yet, despite this drop in ATM usage, ATMs aren’t disappearing—they’re evolving with new banking technology to stay relevant. Let’s unpack what’s really going on.
Real Numbers, Real Trends —
- In 2018, there was a small but notable 1 % drop in ATMs worldwide, from around 3.27 million to 3.24 million.
- A notable slow decline is expected by 2024—ATMs are projected to fall to about 3.22 million.
What’s Driving the Decline in Major Markets?
More than half of the world’s ATMs are located in India, China, the U.S., Japan, and Brazil. But trends differ in each.
- India: While the total ATM count is still growing, the pace has slowed considerably. Younger consumers prefer mobile payment apps like Google Pay, Paytm, and PhonePe, while UPI (Unified Payments Interface) has revolutionized peer-to-peer and merchant transactions. This shift means fewer visits to ATMs and more merchants welcoming digital payments.
- China: The explosion of mobile wallets (think WeChat Pay, Alipay) led to a sharp drop in ATM installations.
- U.S.: Many branches closed and retailers scrapped ATMs rather than upgrade to new EMV tech.
- Japan: First ATM decline since 2009—banks now share ATMs to cut costs.
- Brazil: Around 1,200 ATMs were removed in 2018 as people shifted to digital payments.
Where ATM Growth Still Happens —
Meanwhile, many countries, particularly in developing regions like Asia-Pacific, Latin America, the Middle East, and Africa, saw ATM growth, thanks to financial inclusion pushes. Governments and banks continue to install ATMs to serve underserved communities.
How ATMs Are Evolving?
- The functionality of ATMs is increasing; they now do more than just dispense cash.
- Contactless and cardless tech is rising: in 2019, ATMs with NFC increased significantly worldwide; QR and NFC adoption varies by region.
- ATMs remain a crucial access point—especially where cash is still king, or digital adoption is uneven.
Key Insights:
- ATMs are still relevant, thanks to cash demand, especially for unbanked or rural users.
- Digital payments are eating into ATM numbers in developed markets—but not eliminating them.
- India remains positive, just at a slower pace.
- Developing markets are expanding ATM networks via inclusion initiatives.
- ATMs are transforming, with more services and newer technologies like NFC, QR codes, and cardless withdrawals.
FAQ — Your ATM Questions Answered!
Q: Did ATM numbers really drop in 2018?
Yes—global ATM numbers dipped about 1 %, down to around 3.24 million from 2017 levels.
Q: Which countries saw declines?
China, the U.S., Japan, India, and Brazil all experienced ATM drops.
Q: Why are ATMs disappearing in big markets?
In China, mobile payments. In the U.S., branch closures and EMV costs. In Japan, bank sharing. In Brazil, cashless shifts.
Q: Is ATM use growing anywhere?
Absolutely—in developing regions like Africa, Latin America, Asia-Pacific, and the Middle East, ATMs are growing, thanks to financial inclusion efforts.
Q: Are ATMs still just for cash?
Not at all—modern ATMs offer deposits, peer-to-peer transfers, coupon dispensing, and cardless withdrawals via NFC or QR codes.
Q: What does the future look like?
ATMs will likely decline slowly to around 3.22 million by 2024, but in many regions, especially underserved ones, they’ll remain important and continue evolving.
More related blogs
- Credit Card Authorization
- Interchange fees
What is Visa’s Digital Commerce Authentication Program (DCAP) — Everything you need to know! 
- Credit Card Authorization
- Interchange fees
- ACH B2B Transactions
- high-risk e-commerce
Why ACH and Credit Card Limits Are Quietly Killing Merchant Growth?
- ACH B2B Transactions
- high-risk e-commerce
- Credit Card PCI Compliance
- online payment plugins
Simplify Payment Plugin Integration for Online Businesses!
- Credit Card PCI Compliance
- online payment plugins
