How Did India Become a Global Leader in Fast Payments?

New Delhi, July 20 (NationPress) India has solidified its position as a global leader in rapid payment solutions, with the Unified Payments Interface (UPI) facilitating transactions exceeding Rs 24.03 lakh crore through an astounding 18.39 billion transactions in June, as reported by the International Monetary Fund (IMF) on Sunday.

Comparatively, there were 13.88 billion UPI transactions in June of the previous year, highlighting a remarkable 32 percent year-on-year (YoY) growth.

Currently, UPI accounts for 85 percent of all digital transactions in India and nearly 50 percent of the real-time digital payments globally, according to the same report.

With over 640 million transactions processed daily, UPI has outpaced major players like Visa, which handles approximately 639 million transactions each day.

This milestone is particularly noteworthy as UPI achieved this scale in just nine years.

The platform serves 491 million users and 65 million merchants, linking 675 banks through a unified system.

UPI has significantly advanced financial inclusion, granting access to digital financial services to individuals across the nation, especially in rural and semi-urban areas.

The IMF report underscores that India's achievement stems from years of digital groundwork and a robust vision to leverage technology for inclusive growth.

Initially designed as a payment system, UPI has evolved into a global benchmark for public digital infrastructure.

UPI's influence extends beyond India, currently operational in seven countries, including the UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, and Mauritius.

The recent launch in France signifies its entry into Europe, allowing Indians residing or traveling there to execute payments effortlessly.

India is also championing the adoption of UPI as a payment standard within the BRICS group, which recently expanded by adding six new member countries.

If embraced, this could lead to faster, cheaper, and more secure cross-border transactions, further bolstering India's status as a global digital frontrunner, according to the report.

Initiated in 2016 by the National Payments Corporation of India (NPCI), UPI has revolutionized digital payments, making them simple, quick, and accessible.

With just a few taps on a mobile device, users can pay merchants, transfer funds to friends, or manage their bank accounts, regardless of their banking institution.

The convenience and speed of UPI have made it a favored option for both individuals and businesses alike.