Punjab National Bank (PNB) has entered a five-year co-branding agreement with Zaggle Prepaid Ocean Services Ltd, a listed fintech company, to launch and distribute twin credit cards across India. The cards, which run on both Visa and RuPay networks, are manufactured using biodegradable materials and come with a suite of travel, lifestyle, and insurance benefits. The partnership is part of PNB’s broader strategy to strengthen its presence in India’s fast-growing but still underpenetrated credit card market.
What Is the PNB-Zaggle Co-Branding Agreement?
Under the agreement, which was disclosed to stock exchanges on June 19, 2026, through a regulatory filing under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Zaggle will act as the co-branding partner for PNB’s retail credit card product. The domestic contract is valid for five years and gives Zaggle the responsibility to drive acquisition, marketing, and promotion of the co-branded retail credit card by leveraging its existing corporate customer base. The filing confirmed that neither Zaggle’s promoter, promoter group, nor group companies have any interest in PNB, making it a non-related party transaction.
Zaggle Prepaid Ocean Services Ltd, incorporated in 2011, is a financial technology company that provides SaaS-based spend management solutions to corporates. It works across areas such as employee rewards and recognition, expense management, corporate gifting, and customer engagement. The company was listed on Indian stock exchanges in September 2023 following an IPO and is led by Avinash Ramesh Godkhindi as its Managing Director and Chief Executive Officer. As of late 2025, Zaggle served over 3,700 corporate customers with more than 3.5 million platform users.
Key Features of the Twin Credit Cards
The PNB-Zaggle Co-branded Twin Credit Cards come with a unique dual-network proposition. One card operates on the Visa network, providing global acceptance and international travel privileges. The other runs on RuPay, India’s domestic payment network promoted by the National Payments Corporation of India (NPCI). The RuPay card supports UPI-linked credit card payments, allowing customers to use credit via UPI QR codes at merchant outlets, a feature that has gained significant traction in India.
A standout feature of the product is its use of biodegradable materials in card manufacturing, making it an environmentally conscious alternative to traditional plastic cards.
The benefits across the twin-card suite include:
| Benefit Category | Details |
|---|---|
| Lounge Access | Complimentary airport and railway lounge access |
| Entertainment | OTT subscriptions and fitness memberships |
| Travel and Shopping | Travel and shopping vouchers, dining offers |
| Fuel | Fuel surcharge waivers |
| Insurance | Personal accident insurance cover |
| Jewellery | 1.5% discount on jewellery purchases |
Customers can apply for the cards digitally through Zaggle’s zagg.money application, making the onboarding process streamlined and paperless.
PNB’s Push to Expand Its Credit Card Business
The partnership with Zaggle comes at a time when PNB is aggressively scaling up its credit card operations. Punjab National Bank, founded in 1894 and headquartered in New Delhi, is the second largest public sector bank in India after State Bank of India. The Government of India holds a 70.08% stake in the bank. Its Managing Director and Chief Executive Officer is Ashok Chandra.
PNB has made credit cards one of its three key focus verticals for the current financial year, alongside supply chain finance and cash management services. The bank expects its credit card business to become a dedicated profit centre, targeting quarterly profits of Rs 150 crore to Rs 175 crore. The bank’s total credit card base had risen to around 9 lakh cards by early 2026, up from 6.6 lakh in March 2025. The lender has set an issuance target of crossing 10 lakh cards by the end of FY26 and reaching 15 lakh cards for FY27.
PNB has invested significantly in building its digital credit card infrastructure. The bank created a full digital stack for end-to-end credit card operations, from onboarding to transaction management, and appointed a dedicated General Manager to lead the vertical. Chandra has described the credit card segment as significantly underpenetrated in India, with huge potential among Gen Z and millennial consumers. The launch of the PNB Luxura premium metal credit card in December 2025 and now the PNB-Zaggle co-branded twin cards reflect this sharper focus on product innovation and customer acquisition.
The Growing Credit Card Market in India
India’s credit card market has expanded significantly in recent years. The country had 118.63 million credit cards in circulation as of March 2026, up from about 110 million a year earlier. Total credit card spending for FY26 stood at Rs 23.62 lakh crore, a nearly 12% increase over the previous year. Monthly credit card transactions crossed 577 million in March 2026, reflecting sustained consumer adoption of digital payments.
Despite this rapid growth, credit card penetration in India remains low compared to developed economies. Less than 10% of the adult population holds a credit card, compared to over 65% in the United States. This gap represents a significant opportunity for banks and fintech companies alike. Public sector banks have been gaining ground in the segment, with a 17% increase in per-card spending in March 2026, driven by improved customer engagement and deeper penetration into tier 2 and tier 3 cities.
Co-branded credit cards have emerged as a key growth driver in this market. Partnerships between banks and fintech or corporate players allow card issuers to access pre-existing customer bases, reduce acquisition costs, and offer tailored rewards. The PNB-Zaggle partnership follows this successful model, with Zaggle bringing its corporate network and digital onboarding capabilities to the table.
Key Takeaways
- Punjab National Bank (PNB) and Zaggle Prepaid Ocean Services Ltd signed a five-year co-branding agreement on June 19, 2026, to launch twin credit cards in India.
- The PNB-Zaggle Twin Credit Cards offer a dual-network proposition combining Visa (international acceptance) and RuPay (UPI-enabled domestic payments) on a single product.
- The cards are manufactured using biodegradable materials and include benefits such as airport and railway lounge access, OTT subscriptions, fuel surcharge waivers, and 1.5% discount on jewellery purchases.
- PNB, founded in 1894 and headquartered in New Delhi, is India’s second largest public sector bank with 70.08% government ownership. Its MD and CEO is Ashok Chandra.
- Zaggle Prepaid Ocean Services Ltd, incorporated in 2011, is a listed fintech company providing SaaS-based spend management solutions. It served over 3,700 corporate customers with more than 3.5 million platform users as of late 2025.
- India’s credit card base reached 118.63 million in March 2026, with total annual spending of Rs 23.62 lakh crore, yet penetration remains below 10% of the adult population, indicating strong growth potential.
