2024

UPI goes global

![obsidian|450][IMG-20240213-WA0039.jpg]

223 lakh crore worth transactions - January to November, 2024

![obsidian|400][IMG_20250303_123612_967.jpg]

16.73 billion transactions - December 2024

India's UPI recorded 16.73 billion transactions in December, 2024.

That's more digital payments than the entire US, UK, and China combined.

January 2025

UPI Circle

83% of digital payments by volume through UPI

• Five years ago, 66% of India's digital payments were through RTGS, NEFT, IMPS, Credit cards and Debit cards. Only 34% were via UPI.

• Today, 83% of digital payments by volume, is through UPI.

February 2025

New payment system for global expansion

• India unveils new payment system for business and UPI Circle for global expansion.
• National Payments Corporation of India launched a new payment system Bharat Billpay for business and the Unified Payments Interface (UPI) circle to globalise UPI and RuPay.
• Reserve Bank of India Governor Shaktikanta Das underscored key initiatives in QR code-based payments, international merchant acceptance, and cross-border remittances at the Global Fintech Fest 2024.

March 2025

Incentive scheme for promotion of low value BHIM UPI transaction Persons to Merchant (P2M)

• The scheme will be implemented at an estimated outlay of 1,500 crore for the FY 2024 - 2025
• The scheme covers only the UPI P2M up to 2000 for small merchants
• Incentive at the rate of 0.15% per transaction value will be provided.

July 2026

New UPI payments without internet connection

• National Payments Corporation of India (NPCI) is developing an offline version of UPI Tap and Pay, that would allow consumers to make payments even when both their smartphone and merchant's point of sale (PoS) terminal lack internet connectivity.

Coverage expands

• Expand coverage to unreliable, remote locations, from flights, and underground metros, rural areas, hilly locations.

• The proposed system would allow users to tap their NFC enabled smartphones on compatible terminals to complete transactions without requiring an active internet connection at the time of payment.

Up to ₹2,000

• The feature is expected to support transactions of up to ₹2000, to minimise financial risk.

2023 - UPI Lite X

• In 2023, NPCI introduced UPI Lite X, extending UPI Lite to support limited offline peer to peer and peer to merchant payments under specific conditions.

Changes proposed

• The proposed system, represents a broader evolution and coverage, unlike UPI Lite X, which introduced limited offline functionality.

Challenges

• Banks, payment service providers, smartphone manufacturers and PoS terminal vendors will all need to support the new capability before consumers can use it widely.

Reason behind

• India’s digital payments revolution has transformed financial inclusion, but connectivity gaps still leave millions vulnerable to transaction failures.

The Logical Indian