UPI maintained its growth chart in October with 19 per cent increase in transaction volume and 25 per cent rise in the transaction value. The growth is mainly driven by digital payments major Paytm, which becomes the largest contributor to the NPCI-owned payments railroad in last month.
Like September when Paytm grabbed the largest transaction share in UPI payments, the Alibaba-backed company has once again proved its dominance with an overall 37 per cent transaction share in October.
As UPI recorded 482.36 million transactions worth Rs 74,978.27 in last month, Paytm contributed about 180 million transactions.
Despite NPCI’s cap on fake transactions, UPI transaction volume and value maintained its growth in October. According to Industry experts, the festival sale organised by e-commerce players such as Amazon, Flipkart and Paytm in last month was the main reason behind the growth, reports ET.
Moreover, the same increase in UPI transaction can be expected in November due to the upcoming Diwali sale. Also, various services such as mobile recharge, electricity, water bills, metro commutes, and payments at offline stores contribute a major role in Paytm UPI growth chart.
Besides Paytm, PhonePe and Google Pay are two other private players competing in the segment. The UPI transaction share by PhonePe, Google Pay and government-run BHIM is yet to unveil.
While NPCI further reduced the number of transactions per bank account to 10 (for the peer-to-peer segment), it will be interesting to watch how these payments player continues to grow in festival sale in November.