The digital payment sector continues to grow rapidly, with the Unified Payments Interface (UPI) adding up to 60 lakh new users every month. The significant increase in UPI transactions is attributed to the introduction of the RuPay credit card on UPI and its expansion into foreign markets.
According to the latest data from the National Payments Corporation of India (NPCI), the number of transactions on the UPI platform increased by 49 percent year-on-year to 13.9 billion in June, with the transaction value rising by 36 percent to Rs 20.1 trillion. The average daily transaction count was 463 million, with an average daily amount of 66,903 crore.
UPI's success in India has led to global collaborations across several countries. The UAE-based Al Maya Supermarket has announced the acceptance of UPI-based payments across its outlets in the country.
The government's efforts to promote a digital economy, combined with a young and tech-savvy population, are expected to drive the fintech sector to new heights.
Praveena Rai, the Chief Operating Officer of NPCI, highlighted that the market share of RuPay credit cards has risen to 10 percent from just 1 percent three years ago. She also mentioned that UPI is adding 3 to 6 million users monthly.
Additionally, Ajay Kumar Choudhary, non-executive chairman and independent director of NPCI, mentioned that UPI is now available at the Eiffel Tower in Paris, Galeries Lafayette's flagship store in Haussmann ahead of Paris Olympics, and certain countries in the Middle East. He also stated that NPCI aims to achieve 1 billion UPI transactions per day in the coming years.
Meanwhile, according to another report, about 65 percent of transactions made by consumers in small-town India are now digital, while in larger cities, this ratio is around 75 percent. The report, conducted by Kearney India and Amazon Pay India, highlights the prominent role of India's millennials (aged 25-43 years) and Gen X (aged 44-59 years) in leading the digital payment revolution. Interestingly, Boomers (aged 60 years and above) show higher card and wallet usage than the younger age groups.
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Inputs from IANS
