UPI hits record 9 billion transactions worth Rs 14 lakh crore

Tags: Economy/Finance National News

The Unified Payments Interface (UPI) registered more than nine billion transactions in May 2023 amounting to over 14 lakh crore rupees.

An overview of the news

• According to the National Payments Corporation of India NPCI, UPI recorded a total 9.41 billion transactions in May 2023.

• UPI had recorded 8 billion transactions in January this year, followed by 7.5 billion in February, 8.7 billion in March, and 8.89 billion in April. 

• In Financial Year 2022-23, the payment system processed a total of 83 billion transactions, amounting to a value of 139 lakh crore rupees.

• India's homegrown payments system UPI is one of the globally accepted payment systems and has emerged as a trusted payment mode ever since its launch in 2016. 

• The report titled "The Indian Payments Handbook - 2022-27" said that the share of UPI in the total transaction volume in the retail segment during 2022-23 was around 75 per cent.

• The Indian digital payments market is expected to reach 411 billion transactions in FY 2026-27 from 103 billion in FY 2022-23.

About UPI

• Unified Payments Interface (UPI) is a single platform that integrates various banking services and facilities under one umbrella.

• It is developed by National Payments Corporation of India (NPCI).

• The names of the top UPI apps currently are – PhonePe, Paytm, Google Pay, Amazon Pay and BHIM.

• NPCI launched UPI in 2016 with 21 member banks.

National Payments Corporation of India (NPCI)

• NPCI, an umbrella organization for operating retail payment and settlement systems in India, has been initiated by the 'RBI' and the 'Indian Banks' Association' (IBA) under the 'Payment and Settlement Systems Act, 2007'.

• It is a 'not-for-profit' company established under the provisions of Section 25 of the Companies Act 1956 (as amended in 2013), with the objective of providing physical and electronic payment infrastructure to the entire banking system in India.