In October, UPI achieved a remarkable milestone, crossing an astonishing 11.4 billion transactions with a total transaction value surpassing Rs 17.6 lakh crore. This extraordinary feat is indicative of the growing popularity and trust in UPI as a secure and efficient payment platform.
Unprecedented Growth in UPI Transactions
The National Payments Corporation of India (NPCI), which operates the UPI system, released data highlighting the impressive performance of UPI. The platform recorded a 55 percent year-on-year growth in transaction volume and a 42 percent growth in transaction value. This surge in activity showcases the increasing reliance on UPI for everyday financial transactions.
Rapid Milestones: From 10 Billion to 11.4 Billion
UPI had crossed the 10 billion transaction mark in August and continued its upward trajectory. In September, it recorded 10.56 billion transactions, a clear indicator of the platform’s consistent growth. By October, UPI had surpassed 11.4 billion transactions, further solidifying its position as India’s preferred mobile payments platform.
Future Vision: 2 Billion Daily Transactions by 2030
NPCI’s Chief, Dilip Asbe, has set an ambitious goal for UPI. He aims to achieve 2 billion daily transactions by 2030. This vision is fuelled by the potential for growth, especially in the credit segment of the platform. Asbe envisions significant growth in credit usage, driven by fintech companies’ involvement. Additionally, he foresees the integration of UPI for cross-border transactions in at least 50 percent of the world’s top 30 markets or countries.
AePS: An Overview
In addition to UPI transactions, NPCI also provided data on the Aadhar-enabled Payment System (AePS). This payment model, operated through banks, allows all Aadhaar cardholders to make monetary transactions using their unique identification number (UID). Users can deposit cash, transfer funds, and check account balances with the help of AePS.
AePS witnessed monthly transaction volumes of 100 million in October. However, this represents a 15 percent decrease compared to the previous year. The transaction value also decreased by 17 percent on an annual basis, with the total value crossing Rs 25,973 crore. Despite the decline in volume, AePS continues to provide a crucial financial service, especially for individuals in remote or underserved areas.