2017 ended on a high note for the Indian digital payments industry, with digital transactions reaching a new peak of 1.06 Bn in December. As per data released by the RBI, this translates to a jump of 6.05% from the 997.1 Mn transactions clocked in November.
The development marks the first time that digital transactions in India crossed 1 Bn, since the rollout of demonetisation in November 2016.
In December 2017, the total transaction value surged to $1.9 Tn (INR 125.51 Tn), which is the second highest reported in a single month over the last one year.
Digital transactions include all payments made by credit and debit cards, UPI, prepaid payment instruments (PPIs), Internet banking and unstructured supplementary service data (USSD).
According to the RBI data, transactions via the Unified Payments Interface (UPI) hit a record of 145.5 Mn, up by 40% from the 105 Mn mark touched in November. On the other hand, the value of transactions clocked in December stood at $2 Bn (INR 131.4 Bn), a significant increased from $1.5 Bn (INR 9,679 Cr) registered in the month prior to that.
Over the last 12 months, UPI-based transactions underwent a massive 7000% increase, the report by the RBI further stated. For instance, UPI recorded only around 2 Mn transactions in December 2016, a month after demonetisation was instituted.