Mumbai, Oct 8 (NationPress) With more than 500 million consumers and 65 million merchants, the Unified Payments Interface (UPI) has transitioned from a mere digital payment system to a daily necessity, fostering financial inclusion, enhancing access to credit, and spurring the growth of micro and small businesses throughout India, as indicated by a recent report released here.

The report, unveiled at the Global Fintech Fest (GFF) 2025 by the National Payments Corporation of India (NPCI) and the Boston Consulting Group (BCG), underscores how India's UPI has established a new international standard, representing nearly 50 percent of global real-time payment volumes and 84 percent of all retail digital payments within the nation.

UPI's reach now covers 99 percent of India's over 19,000 pin codes, catalyzing economic growth across the country.

From FY23 to FY25, consumer durable loans surged by 10 times and personal loans by 4.4 times in regions with high UPI growth. UPI Autopay transactions have seen a threefold increase over the past year, and two-thirds of users report enhanced access to financing since embracing UPI.

Beyond its national impact, UPI is emerging as a global exemplar for secure, interoperable, and scalable digital public infrastructure.

Innovations such as LiteX (offline payments), tap-and-pay, UPI for IPO subscriptions, Credit Card on UPI, and UPI Autopay are transforming the platform from embedded payments to embedded finance, unlocking new pathways for financial innovation and accessibility.

“UPI has revolutionized how consumers transact and how businesses thrive, while gaining global acknowledgment as a model for digital public infrastructure. Beyond mere convenience, UPI is integrating micro and small enterprises into the formal economy, financially empowering women, and broadening credit access in areas with greater adoption,” stated Sohini Rajola, Executive Director – Growth, NPCI.

As India progresses towards its Viksit Bharat 2047 vision, UPI remains a fundamental element of the nation’s digital evolution, bolstering financial infrastructure, empowering MSMEs, and expediting the transition to a digitally driven economy.

“UPI has altered longstanding cash usage habits and could potentially surpass cash transactions in the coming years, with robust growth in both P2P and P2M transactions,” remarked Vivek Mandhata, Managing Director and Partner, BCG.

The report emphasizes UPI's transformative influence on India’s merchant ecosystem. Business loans have increased by 4.2 times in high-UPI growth districts compared to low-growth areas since FY23. Eighty percent of merchants report enhanced staff productivity due to tools like the UPI Soundbox.

Globally, UPI is setting a new standard for secure, interoperable, and scalable digital payments, with nations worldwide now aiming to replicate India's inclusive digital public infrastructure model, as highlighted in the report.