India’s digital payment landscape is undergoing a significant shift. The Unified Payments Interface (UPI) continues its meteoric rise, reaching new heights in October 2024.
Record-Breaking Month for UPI:
- Processed a staggering 16.58 billion transactions, a 10% increase from September.
- Facilitated transactions worth a monumental Rs 23.5 lakh crore, marking a 14% growth in value compared to the previous month.
UPI’s Dominance Extends:
- Daily transactions surpassed 535 million in volume and Rs 75,801 crore in value, setting new benchmarks.
- This growth builds upon the impressive first half of 2024, where UPI transaction volume surged by 52% year-over-year, alongside a 40% increase in transaction value.
Wider Digital Payment Adoption:
- Other digital payment systems like IMPS (Immediate Payment Service) and FASTag also experienced growth in October.
- This indicates a broader shift towards digital payments in India, signifying its positive impact on financial inclusion and economic activity.
Debit Cards Face Decline:
- Interestingly, a Reserve Bank of India (RBI) report highlighted a contrasting trend for debit cards.
- Debit card-based transactions witnessed an almost 8% decline in September compared to August.
UPI’s Future Looks Bright:
UPI’s continued dominance and the decline in debit card usage suggest a clear preference for real-time, convenient digital payments. As India strives for a cashless economy, UPI is undoubtedly at the forefront of this transformation.
