The National Payments Corporation of India (NPCI), which administers the popular UPI payments system reported a 37 percent growth in consolidated net profit in the financial year ending March 2024.
The financial institution that manages most digital payment settlements in the country on behalf of the Reserve Bank of India (RBI) reported a net surplus of Rs 1,134 crore in FY24, a growth of 37 percent over FY23 as digital payments make more inroads in the country. It had reported a net profit of Rs 828 crore in the last financial year.
The institution also saw its revenue go up to Rs 2,876 crore from operations up from Rs 2,064 crore from FY23.
The company designates its profit as a net surplus since it is incorporated as a not-for-profit company under Section 8 of the Companies Act 2013.
NPCI's revenue primarily comes from operating retail payment systems in India. It operates various systems such as ATM network National Financial Switch, UPI payments, Bharat Bill Pay, RuPay Cards, BHIM, FASTag, NACH, Immediate Payment Service or IMPS, among many others.
UPI transactions
Payments through the Unified Payments Interface (UPI) reported a 45 percent yearly growth, according to data from the National Payment Corporation of India (NPCI).
The value of transactions also saw a growth of over 35 percent totalling Rs 20.64 lakh crore. This marks the third consecutive month when total transactions exceeded Rs 20 lakh core. In June 2024, the total UPI transaction value was Rs 20.07 lakh crore, while in May it was Rs 20.44 lakh crore.
NPCI data also showed that compared with June, the volume of UPI transactions grew by 3.95 percent in July, while the value of transactions increased by 2.84 percent. In the first four months of the current fiscal year (2024-25), UPI recorded transactions amounting to Rs 80.79 lakh crore across approximately 5,566 crore transactions.
In 2023-24, total UPI transactions were 13,100 crore compared to 8,400 crore in 2022-23. The monthly bulletin of the Reserve Bank of India (RBI) reported that over the last four years, UPI transactions have seen a 10-fold increase in volume from 1,250 crore transactions in 2019-20 to 13,100 crore transactions in 2023-24, which accounts for 80 percent of the total digital payment volumes.