Major milestone! UPI hits record 15,547 crore transactions worth Rs 223 lakh crore by November 2024

The Unified Payments Interface (UPI) has processed 15,547 crore transactions totalling Rs 223 lakh crore from January to November this year, as reported by the Finance Ministry on Saturday. 

In a social media post on X, the ministry highlighted the significant impact of UPI on financial transactions in India. Using the hashtag #FinMinYearReview2024, the ministry emphasized UPI's growing influence globally, noting its increasing adoption in various countries. 

India's digital payment revolution is gaining worldwide traction, with both UPI and RuPay making rapid strides internationally. Currently, UPI operates in seven countries, including the UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, and Mauritius. UPI, a digital payment system that enables instant money transfers between bank accounts, was launched in 2016 by the National Payments Corporation of India (NPCI) and has since transformed India’s payment ecosystem by integrating multiple bank accounts into a single mobile application. 

This system has streamlined fund transfers, merchant payments, and peer-to-peer transactions, providing users with flexibility, such as scheduled payment requests. UPI has made financial transactions faster, more secure, and easier, empowering individuals, small businesses, and merchants, and supporting the nation's shift towards a cashless economy. 

In October 2024, UPI set a new record by processing 16.58 billion transactions, totaling Rs 23.49 lakh crore. This marked a 45% year-on-year increase from 11.40 billion transactions in October 2023, according to Ministry of Finance data. With 632 banks connected to its platform, this surge underscores UPI's growing dominance in India's payment sector. 

UPI has greatly benefited small businesses, street vendors, and migrant workers by providing an efficient way to transfer money and receive payments. The system's adoption accelerated during the Covid-19 pandemic, as people sought safer, contactless alternatives to cash. 

UPI's success can be attributed not only to its robust infrastructure but also to a shift in consumer behavior. Trust in the system and its accessibility have played a crucial role in its widespread adoption. UPI’s expansion into France marks a significant milestone, as it is the first European country to adopt the system. This enables Indian consumers and businesses to make and receive payments seamlessly while abroad. 

Prime Minister Modi has actively advocated for UPI’s expansion within the BRICS group, now including six new members. This push is expected to strengthen remittance flows, promote financial inclusion, and enhance India's global financial standing. According to the ACI Worldwide Report 2024 cited by the Finance Ministry, India now accounts for approximately 49% of global real-time payment transactions as of 2023, reinforcing its leadership in digital payment innovation.