India's B2B business to grow 10.3% in 2022 says American Express

New Delhi, Jan 20 India's B2B business is expected to rise by 10.3 per cent in 2022, global payments company American Express said.

A study conducted by American Express India and Invest India in partnership with the Centre for Business and Economic Research said: "Indian businesses saw spending grow three times faster than the expectations from its comparable peers in the other countries, establishing a lead that is likely to only consolidate."

The report said bullishness and greater confidence will lead to 74 per cent of businesses spending more on technology and 72 per cent planning to make more capital investments in 2022.

Besides, the study revealed that 59 per cent of B2B sellers consider the main benefit of digital payments to be the speed of payment and ability to track spendings.

And, 83 per cent of respondents said that the government's 'Make in India' campaign has helped their business.

Furthermore, 59 per cent large, 57 per cent small scale companies, 53 per cent medium scale companies, and 42 per cent micro-scale companies are increasing spendings on technology to improve their productivity.

Manoj Adlakha, SVP and CEO, American Express Banking Corp, India, said: "The survey also reveals that some of the trends that have emerged or accelerated during the pandemic such as payments automation and new approaches to manage the supply chain, are likely to stay.

"... With rapid digitisation laying the foundation for domestic and global trade and commerce, B2B payments and spending have shifted towards e-commerce and e-payments in recent times."

Having said that, some challenges still arise. Some businesses do not want to use an integrated digital platform because of low level of trust for digital transactions, the study found.