New Delhi, 22 February (IANS). The Unified Payment Interface (UPI) is playing an important role in increasing the financial inclusion in the country and four of the five digital transactions in India in FY 24 were through UPI.
UPI’s share in all digital transactions in the country has increased to 84 percent.
The report by Fintech Consulting and Advisory firm The Digital Fifth said that UPI is much higher than a payment system and works as an entire ecosystem for India.
Sameer Singh Jaini, founder and CEO of The Digital Fifth, said, “UPI handles 16 billion per month and it is estimated to increase 3 times by the end of 2030. In such a situation, the role of a strong infrastructure becomes paramount.”
He further stated that detection of fraud in real-time, cloud-design architecture and scalable, dual-core switches are no longer alternative, but they are necessary to ensure safe and failure digital payment.
The UPI transactions have increased by 4 times from 2021 to 2024 and it has increased to 172 billion transactions on an annual basis. UPI has the highest share in digital transactions and has gone beyond card-based and wallet transactions.
The report said that more than 3 crore merchants are associated with UPI. The Merchant-to-Customer segment is growing faster than the peer-to-peer (P2P) transaction with an annual growth rate of 67 percent.
According to the report, UPI’s stake in the country’s digital payment has increased from 34 percent in 2019 to more than 83 percent in 2024.
On a large scale, the volume of UPI transaction increased from 375 crores to 17,221 crore in 2024, while the total value of the transaction increased from Rs 5.86 lakh crore in 2018 to Rs 246.83 lakh crore in 2024.
-IANS
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