Payments transactions via the UPI (Unified Payments Interface) network rose 1.3 per cent on-month to a high of nearly ₹13-lakh crore in January. However, the rise was substantially lower than the 7.7 per cent increase seen in the previous month.

The volume of transactions rose by 2.6 per cent to 803 crore transactions during the month, according to data by NPCI (National Payments Corporation of India).

The network has processed around 6,752 crore transactions worth ₹113-lakh crore in FY23 so far. During 2022, the platform saw around 7,404 crore transactions worth ₹126-lakh crore.

Increase in value

The value of UPI transactions has been consistently increasing each month, barring a small dip in November as heightened spending during the festival season started normalising. However, volumes continued to rise, albeit marginally, reflecting that network adoption and transactions continue to grow.

RBI’s Digital Payments Index, a measure of the extent of digitisation of payments across the country, rose to 377.46 in September 2022 from 349.30 in March, driven by significant growth in payment infrastructure and payment performance across the country, the central bank said.

As per the Economic Survey 2022-23 released on Tuesday, India has the highest fintech adoption rate of 87 per cent among the public compared to the global average of 64 per cent. Further, India has gained the third place in digital payments, coming only after US and China. It also said that UPI transactions, have on average, grown 121 per cent in terms of value and 115 per cent in terms of volume between FY19 and FY22.

Transactions via AePS

On the other hand, data by NPCI showed that transactions via the AePS (Aadhar-enabled payments service) platform rose to ₹26,715 crore from ₹25,972 crore in December and ₹26,058 crore in month before.

In terms of volume, the number of AePS transactions also rose to a multi-month high of 9.8 crore from 9.5 crore in December and 9.6 crore in November.

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