India’s digital payment revolution continues unabated as Unified Payments Interface (UPI) transactions skyrocketed in February. According to the latest data from the National Payments Corporation of India (NPCI), the total number of UPI transactions jumped 27 percent year-on-year to a staggering 20.39 billion. The value of these transactions also climbed 22 percent to exceed Rs 26.84 lakh crore, underscoring the platform’s dominance in the country’s financial ecosystem.
Daily averages paint an even more impressive picture. February saw an average of 728 million transactions per day, up from 700 million in January, with the average daily value reaching Rs 95,865 crore compared to Rs 91,403 crore the previous month. This growth trajectory highlights UPI’s seamless integration into everyday transactions, from street vendors to high-street retail.
Looking back, January had already set a high bar with 21.70 billion transactions, a 28 percent YoY increase, and a value of Rs 28.33 lakh crore, up 21 percent. But February’s figures solidify UPI’s position as the go-to payment method.
Other systems are growing too, albeit at a slower pace. IMPS recorded 336 million transactions in February, a 14 percent rise YoY, with a value of Rs 6.42 lakh crore and an average of 12 million daily transactions. FASTag toll payments hit 350 million transactions worth Rs 6,925 crore, reflecting a modest 5 percent annual growth.
UPI’s global footprint is expanding rapidly, now active in over eight countries including UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, Mauritius, and Qatar. This international push is boosting remittances, enhancing financial inclusion, and cementing India’s leadership in global fintech.
In a recent milestone, India and Israel announced integration of UPI with Israel’s domestic payment infrastructure, promising faster and cheaper cross-border transactions. A Finance Ministry study reveals UPI now accounts for 57 percent of all payment transactions in India, surpassing cash at 38 percent, thanks to its ease of use and instant transfer capabilities.
As India marches towards a cashless economy, UPI’s meteoric rise signals a transformative shift in how billions transact daily, setting a benchmark for the world.