UPI processes 1.3 bn transactions in February 2020

Real time payments system UPI (unified payments interface) clocked 1.32 billion transactions in February this year, National Payments Corporation of India (NPCI) said in a tweet on Sunday.

The total transaction value via UPI also increased by 2.65% to Rs 2,21,995 crore in February 2020 from Rs 2,16, 243 crore in January 2020. The platform processed 1.3 billion transactions in January. 

Read: UPI clocks 1.31 bn transactions in December; value crosses Rs 2 lakh crore

Founded in 2008, the Mumbai-based NPCI is an umbrella organisation for operating retail payments and settlement systems in India. In 2019, it launched UPI, an immediate real-time payment system that helps in the instantly transfer of funds between two bank accounts through a mobile platform. 

UPI is one of the most used modes of online transactions in the country.  Currently, 143 banks are live on the platform, compared to 21 banks four years ago, according to UPI Live Members data available on the NPCI website.

Last month, San Jose, California-based digital payments company PayPal announced that it might launch UPI-based services in India. The company will join the likes of Amazon, Google, Xiaomi, WhatsApp and Indian companies like PhonePe and Paytm in the UPI space. This move will enable cross-border payments for small merchants, entrepreneurs, and freelancers selling goods and services abroad.

Read: Arvind Ronta on why UPI spells opportunities, not challenges for Visa

Last year in December, RBI (Reserve Bank of India) governor Shaktikanta Das had said that the NPCI will be setting up a subsidiary to export the unified payment interface (UPI) for governments and central banks interested in implementing similar payment options in their countries. Recently, Google had recommended that the US Federal Reserve Board adopt a similar payment infrastructure as India. Google Pay commands over 35% of the market in India, followed by Walmart-owned PhonePe.