Today's Australian Financial Review reports that Woolworths appears to have dropped plans to launch a debit card as part of its Everyday Money financial services strategy.

The AFR says the retailer will instead focus on developing a range of gift cards.

Sales of pre-paid gift cards have risen 40 per cent so far this financial year, exceeding internal targets and making Woolworths Australia's largest gift card retailer.

Woolworths' head of financial services, Dhun Karai, has told the newspaper the launch of an Everyday Money debit card to complement the Everyday Money credit card launched last September was not on the retailer's agenda.