UPI transactions have crossed $1 trillion in a trailing period of Feb2021 – Jan2022
One of the initial objectives of UPI, to replace cash for low value transactions, seems to have been met. Half of transactions through UPI were below Rs 200, as per detailed transaction data of National Payments Corporation of India.
Unified Payments Interface or UPI is currently the single largest retail payment platform in the country in terms of volume of transactions, indicating its wide acceptance, said the Economic Survey 2021 22. UPI carried out 4.6 billion transactions worth Rs 8.26 lakh crore in December 2021.
UPI processed more than 24.6 million One Time Mandates (one-time registration process where in the investor authorizes his banker to execute debits to his bank account up to a certain limit) in April-November 2021, to create transactions of Rs 44,381 crore. RBI increased the limit for such transactions to Rs 2 lakh in March 2020, and further to Rs 5 lakh in December 2021.
Other countries are joining hands with UPI. RBI and the Monetary Authority of Singapore announced a project to link UPI and PayNow, which will start in July 2022. Bhutan recently became the first country to adopt UPI standards for its QR code. It is also the second country after Singapore to have BHIM-UPI acceptance at merchant locations.