Unified Payments Interface (UPI), an instant real-time payment system developed by NPCI facilitating inter-bank transactions has dominated the year 2018. In November, the digital payments railroad had reached a new milestone and crossed half a billion transaction (524.94 million ) for the first time since inception.
Last month, UPI maintained its growth and reached 620.17 million transactions amounting to Rs 1,02,594.82 crore. This is an 18 per cent rise in terms of transaction volume and 24 per cent spike in transaction value as compared to November.
Cashless transactions have now become simpler and convenient thanks to BHIM UPI.@dilipasbe #DigitalIndia #InstantPayments #HighOnUPI pic.twitter.com/zdEQkrbEZA
— BHIM (@NPCI_BHIM) January 1, 2019
The month-on-month growth in November was only around 9 per cent in terms of transaction volume as well as value.
Also, this is the first time when UPI has crossed 1 lakh crore transaction value mark after introduced in April 2016.
Apart from UPI, NPCI-owned instant real-time inter-bank electronic funds transfer system IMPS also registered a decent growth. With 18 per cent growth in transaction volume, IMPS witnessed Rs 1,46,898.58 crore transaction amount in December.
On the back of the new avatar (UPI 2.0), the government-backed payments interface has witnessed a new set of growth. In the new version, it introduced important features such as overdraft facility, block payment’ and signed intent and QR code option.
Meanwhile, NPCI also put a cap and allowed only 10 peer-to-peer transactions per bank in a span of 24 hours. Besides, it also banned UPI transaction within same account or UPI ID.
On contrary to the aforementioned limitation, the number of transactions rose and expected to put the same show in the coming months.