In a recent development, digital payments through the United Payments Interface (UPI) have exceeded 11 billion transactions for the second consecutive month. According to data released by the National Payments Corporation of India (NPCI), November witnessed 1,124 crore UPI transactions, slightly lower than October's 1,141 crore but marking a substantial 54% increase from November 2022.
The UPI transactions in November 2023 amounted to a staggering INR 17.40 lakh crore, showcasing a marginal uptick from the INR 17.16 lakh crore recorded in October 2023. This represents a robust 46% year-on-year growth compared to the transaction volume of INR 11.90 lakh crore in the same period last year.
But the story doesn't end there; it's just the opening scene. Today, UPI stands as the undisputed hero of digital payments, captivating audiences with its free, safe, swift, seamless, flexible, and convenient features.
So, let's take a front-row seat and witness the journey of UPI payments from Purab to Paschim.
Dominance of Key Players in the UPI Ecosystem
Leading the charge in the UPI ecosystem, PhonePe, Google Pay, and Paytm maintained their dominance in October 2023. These three UPI apps collectively accounted for more than 90% of all transactions on the payments network. While detailed statistics for November are pending, their continued influence underscores their pivotal role in the digital payment landscape.
The NPCI has set an ambitious target of achieving 100 billion monthly transactions. To realize this vision, it introduced several UPI innovations at the Global Fintech Fest 2023. These include credit line access, NFC-based offline payment options UPI LITE X and Tap & Pay, and conversational payment solutions Hello! UPI and BillPay Connect.
NPCI's Vigilant Approach for Security in UPI Transactions
In a bid to enhance security and streamline the UPI ecosystem, the NPCI recently called for the deactivation of all UPI IDs and numbers inactive for the past year by the year's end. Emphasizing the importance of maintaining security in digital payments, the NPCI urges customers to regularly review and verify their information within the banking system for a secure transactional experience.
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