UPI witnesses slow growth in transaction value, IMPS remains flat

The government-run Unified Payment Interface(UPI) transaction has witnessed 6.75 percent growth in April month in comparison to March 2018. The UPI-based transaction registered a mere 4 per cent month-on-month growth for March.

As far as transactions value is concerned the last month saw 11.78 per cent growth, which was more than double (26.38 per cent) in the previous month.

In March, the volume of UPI-based transactions grew to 178.05 million, clocking a whopping value of Rs 24,172.6 crore, while April counts 190.08 million in volume and Rs 27,021.85 crore in value.

NPCI-owned Immediate Payment Service (IMPS)--an instant real-time inter-bank electronic funds transfer system has also witnessed a fall in transaction volume as well as value in last month.

During April the transaction volume via IMPS was 109.55 million and transaction value was Rs 1,02,240 crore. The figure was lower than the March when transaction value was 110.16 million and the value counted at Rs 1,03,804 crore. (The figure seems to be flat as March count 31 days and April has 30 days).

Nation is going digital and experiencing quicker & seamless payments with IMPS.
April transaction count for 30 days with a daily average transaction growth of approx. 10%.#CashlessPayments #DigitalIndia #PayDigitally @dilipasbe pic.twitter.com/ExVzOHlggZ

— IMPS (@NPCI_IMPS) May 1, 2018

Meanwhile, the government-owned BHIM UPI transactions touched approximately 913 million in volume and close to Rs 1 trillion in value in FY18. In March alone it witnessed an increase in transactional volume to 11.95 million and completed a transactional value of Rs 4,839.65 crore. The data for BHIM UPI transaction for April is yet to come.

Since the launch of UPI in August 2016, the number of banks live on UPI app also reached to 91. Besides, Paytm, PhonePe, MobiKwik, and Freecharge, Google's Tez also joined the UPI while WhatsApp is also about to launch its UPI-enabled payment platform.

YES Bank, who in partnership with Flipkart’s PhonePe, launched India’s first UPI-based mobile payments app in August 2016 has claimed to process over 20 per cent of total UPI volume in FY18.

Additionally, Dilip Asbe who was elevated as new managing director (MD) & CEO of NPCI in January this year, recently said that the nation may cross the 100-million user mark on UPI over next two years. Seeing the latest scenario where every day a new entity is joining the unified payment bandwagon, the rise in peer-to-peer payments service is foreseen.