SUMMARY
According to National Payments Corporation of India (NPCI), the payment infrastructure recorded 1,210 Cr transactions in February as compared to 1,220 Cr transactions in January
The value of transactions fell to INR 18.28 Lakh Cr as compared to INR 18.41 Lakh Cr
However, the payments made through UPI saw 61% year-on-year growth in volume and 48% year-on-year growth in transaction value
The Unified Payments Interface (UPI) transactions saw a slight dip both in terms of value and volume on a month-on-month basis in February 2024.
According to the National Payments Corporation of India (NPCI), the payment infrastructure recorded 1,210 Cr transactions in February as compared to 1,220 Cr transactions in January. The value of transactions fell to INR 18.28 Lakh Cr as compared to INR 18.41 Lakh Cr.
However, the payments made through UPI saw 61% year-on-year growth in volume and 48% year-on-year growth in transaction value.
NPCI has set its sights on achieving 2 Bn transactions per day by 2030 and introduced numerous UPI innovations during the Global Fintech Fest 2023. These innovations encompass features such as access to credit lines, offline NFC-based payment options like UPI LITE X and Tap & Pay, and conversational payment solutions like Hello! UPI and BillPay Connect.
NPCI said that these products are designed to foster an inclusive, resilient, and sustainable digital payments ecosystem in the country. These launches align with earlier announcements made by the central bank.
Last year, the Reserve Bank of India also allowed scheduled commercial banks to offer credit lines to their customers through the UPI. Explaining the move the RBI said that payments through a pre-sanctioned credit line issued by a scheduled commercial bank to individuals, with prior consent of the individual customer, are enabled for transactions using the UPI system.
Recently, PayU said it has joined hands with the NPCI for merchants to accept digital payments via credit line.
UPI recorded 1,202 Cr UPI transactions in December last year, crossing the 12 Bn mark for the first time.
Overall in 2023, the number of UPI transactions surged almost 60% YoY to a record 11,768 Cr in 2023, while the total value of UPI transactions also zoomed over 40% YoY to INR 182.84 Lakh Cr
Fintech major PhonePe continued to lead the app race in terms of total number and value of UPI transactions during the first 11 months of 2023, followed by Google Pay and Paytm.
