India recorded about 131 bn UPI transactions with a total value of ₹200 trillion in FY24. Indians have been adopting digital payments technology even in rural areas. Ordinary citizens of India are doing UPI transactions
During her speech at the ‘Viksit Bharat Ambassador’ event held at GITAM in Visakhapatnam, Sitharaman highlighted the widespread adoption of digital payment technology across India, including rural areas. She emphasized that it’s not just big names like Adanis and Ambanis, but also ordinary citizens who are engaging in transactions through platforms like UPI.
According to data from NPCI, PhonePe and Google Pay collectively hold a significant share of the UPI market, accounting for nearly 86% of transactions by volume. Paytm Payments Bank, which ranks third, experienced a decline in market share following restrictions imposed by the RBI in January. Other players like Cred and the Axis Bank app have relatively minimal market presence.
Sitharaman expressed optimism about India’s economic trajectory, stating that the country is poised to become the third-largest economy globally and is progressing towards its goal of becoming a developed nation by 2047. She underscored the importance of combating corruption to safeguard the interests and earnings of ordinary citizens.
Highlighting the robust growth of UPI in fiscal year 2024, she noted a 56% year-on-year increase in transaction volume and a 43% increase in transaction value. This growth is accompanied by a trend of decreasing Average Ticket Size (ATS), indicating a rise in the usage of UPI for smaller transactions.
Sunil Rongala , senior vice president and head of strategy, Innovation & Analytics at Worldline India, pointed out that the ATS for UPI transactions decreased from Rs 1,623 in March 2023 to Rs 1,471 in March 2024.