How Did UPI QR Codes Achieve a 91.5% Surge to 657.9 Million?
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Synopsis
Discover the remarkable rise of UPI QR codes, which surged by 91.5% to 657.9 million in FY2024-25. This article delves into the implications of this growth on digital payments in India, alongside the slowdown in credit card usage and RBI's initiatives to enhance the digital payment landscape.
Key Takeaways
- UPI QR codes saw a 91.5% increase, totaling 657.9 million.
- Credit card transaction growth slowed to 7.94%.
- UPI accounted for nearly 80% of digital transactions in India.
- RBI's initiatives are enhancing awareness and adoption of digital payments.
- Transaction limits for UPI payments are adjustable to meet user needs.
Mumbai, May 6 (NationPress) UPI QR codes have experienced an unprecedented rise in the digital payments sector during the financial year 2024-25, showcasing a staggering 91.5% increase from the previous fiscal year, reaching 657.9 million, as per the latest data from the RBI.
This remarkable growth in UPI QR codes coincided with a marked deceleration in credit card transaction growth, which slowed to just 7.94% year-on-year. In contrast, debit card adoption saw minimal growth of 2.7%, totaling 991 million.
The expansion of UPI QR codes is being propelled by major platforms like Google Pay, Paytm, and PhonePe, enhancing their deployment across the nation.
As of April, the number of banks active on UPI has surged to 668, indicating an anticipated boost in transaction values, as noted by banking officials.
In March, UPI transactions reached an all-time high of Rs 24.77 lakh crore, reflecting a 25% increase in transaction value and a 36% rise in volume compared to the previous year.
UPI has firmly established itself as the preferred method for digital transactions in India, with nearly 80% of digital payments conducted via the Unified Payments Interface (UPI) during the financial year 2024 (FY24), according to the Reserve Bank of India’s annual report.
UPI's market share concerning the overall volume of digital payments has progressively risen from 73.4% in FY23 to 79.7% in FY24. Back in FY20, UPI's share was merely 36.8%.
The RBI is vigorously advocating for digital payments through multiple initiatives, such as the “Har Payment Digital” campaign, aimed at increasing awareness of digital payment systems among the populace.
Additionally, the RBI permits adjustments in transaction limits for UPI in-person merchant payments, empowering NPCI to modify limits according to user requirements, all while implementing necessary safeguards for enhanced convenience.
Point of View
It is imperative to recognize the profound impact of UPI QR codes on India's digital economy. The significant growth showcased reflects not only technological advancements but also a shift in consumer behavior towards adopting cashless transactions. The RBI's initiatives further reinforce the nation's commitment to enhancing digital payment frameworks, promoting financial inclusion across all strata of society.
NationPress
06/05/2025
Frequently Asked Questions
What is the percentage growth of UPI QR codes in FY2024-25?
UPI QR codes have experienced a remarkable growth of 91.5% this financial year.
How many UPI QR codes are currently in circulation?
There are currently 657.9 million UPI QR codes in circulation.
What was the growth rate of credit card transactions?
Credit card transaction growth has slowed to 7.94% year-on-year.
How did UPI perform compared to other digital payment methods?
UPI has captured nearly 80% of digital payments in India, significantly outpacing credit and debit cards.
What initiatives are being taken to promote digital payments?
The RBI is actively promoting digital payments through campaigns like 'Har Payment Digital' and allowing flexibility in transaction limits.
