UPI continues strong run in December, clocks 145 million transactions
, ET Bureau|
Jan 02, 2018, 07.25 PM IST
BENGALURU: Ending the year on a high, Unified Payments Interface (UPI) has maintained the growth momentum by clocking 145 million transactions in December against 105 million in November, reporting a growth of around 38 per cent. Not only in terms of number of transactions, even the amount sent through the channel has grown by 36% over the previous month.
As per data released by the National Payments Corp of India, which manages the UPI railroads, the total amount transferred through UPI stood at Rs 1,314 crore in December against Rs 964 crore in November. This is the first time the platform has clocked more than Rs 1000 crore in a month.
While UPI has grown consistently, BHIM (Bharat Interface for Money) which is being promoted by the government, has not been able to keep pace. A look into the share of BHIM transactions out of the entire UPI base reveals a fall to 6% from around 10% in October and around 8% in November.
UPI has benefitted highly from not only the increased adoption among consumers but also with more and more digital payment platforms using the railroad for settlements. The biggest case is the country's largest payment company Paytm which also went live on UPI recently.
"We already have captured between 15 and 20% of the total share of UPI transactions, and within the next two to three months we will have a leadership position in UPI as well," said Kiran Vasireddy, chief operating officer of Paytm while explaining their UPI strategy for the next year.
While there has been a lot of debate around the use cases of UPI, from a pure peer to peer payment entity UPI is now entering into the merchant payment category. With players like Paytm, PhonePe and Google Tez specifically trying to get merchants to start accepting UPI for offline payments and NPCI expected to go live with an updated version of UPI soon, 2018 could be a very positive year for the entire UPI story.
As per data released by the National Payments Corp of India, which manages the UPI railroads, the total amount transferred through UPI stood at Rs 1,314 crore in December against Rs 964 crore in November. This is the first time the platform has clocked more than Rs 1000 crore in a month.
While UPI has grown consistently, BHIM (Bharat Interface for Money) which is being promoted by the government, has not been able to keep pace. A look into the share of BHIM transactions out of the entire UPI base reveals a fall to 6% from around 10% in October and around 8% in November.
UPI has benefitted highly from not only the increased adoption among consumers but also with more and more digital payment platforms using the railroad for settlements. The biggest case is the country's largest payment company Paytm which also went live on UPI recently.
"We already have captured between 15 and 20% of the total share of UPI transactions, and within the next two to three months we will have a leadership position in UPI as well," said Kiran Vasireddy, chief operating officer of Paytm while explaining their UPI strategy for the next year.
While there has been a lot of debate around the use cases of UPI, from a pure peer to peer payment entity UPI is now entering into the merchant payment category. With players like Paytm, PhonePe and Google Tez specifically trying to get merchants to start accepting UPI for offline payments and NPCI expected to go live with an updated version of UPI soon, 2018 could be a very positive year for the entire UPI story.
