How Did UPI Transactions Surge by 29% to 21.63 Billion in December?
Synopsis
The UPI system has achieved remarkable growth in December, with a 29% increase in transaction counts. This growth reflects a robust digital payment ecosystem in India, driven by increasing acceptance in various sectors. Discover how these trends are shaping the future of payments in the country.
Key Takeaways
UPI transactions increased by 29% year-on-year in December.
Average daily transaction value rose to ₹90,217 crore.
Person-to-merchant transactions outpaced person-to-person transactions.
India has 709 million active UPI QRs .
Digital Public Infrastructure is bridging urban-rural gaps.
New Delhi, Jan 1 (NationPress) The Unified Payments Interface (UPI) experienced a remarkable 29% growth in transaction counts year-on-year, reaching 21.63 billion transactions in December. This surge was accompanied by a 20% annual increase in transaction value, totaling ₹27.97 lakh crore, according to data released by the National Payments Corporation of India (NPCI) on Thursday.
Month-over-month, both the number of UPI transactions and their total value showed significant growth.
The average daily transaction value for December was recorded at ₹90,217 crore, an increase from ₹87,721 crore in November, as per NPCI data.
December also noted an average of 698 million daily transactions, a rise from 682 million in November.
In November, UPI transactions had a 32% year-on-year growth in transaction counts, totaling 20.47 billion, with a 22% increase in transaction value at ₹26.32 lakh crore.
Additionally, monthly transactions made via Instant Money Transfer (IMPS) reached ₹6.62 lakh crore in December, marking a 10% year-on-year increase from ₹6.15 lakh crore in November.
The IMPS transaction count hit 380 million, up from 369 million in November. The daily transaction amount through IMPS was ₹21,269 crore, up from ₹20,506 crore in the previous month.
A recent report highlighted that India now boasts 709 million active UPI QR codes, representing a 21% growth since July 2024. The widespread acceptance of QR codes across various sectors, including kiranas, pharmacies, transport hubs, and rural markets, has established scan-and-pay as the default payment method across the nation, as noted in the report by Worldline India.
Person-to-merchant (P2M) transactions continued to surpass person-to-person (P2P) transactions, underscoring UPI’s stronghold in daily retail payments.
P2M transactions surged 35% to reach 37.46 billion, while P2P transactions increased by 29% to hit 21.65 billion, according to the report. The average ticket size decreased to ₹1,262 from ₹1,363, indicating a rise in micro-transactions for mobility, food, healthcare essentials, and hyperlocal commerce.
Significantly, India’s Digital Public Infrastructure (DPI) has played a crucial role in facilitating universal access to services, bridging urban-rural divides, and reinforcing the nation’s status as a global digital leader.
Point of View
The surge in UPI transactions reflects a significant shift in consumer behavior and payment methods. This growth not only underscores the effectiveness of India's Digital Public Infrastructure but also highlights the increasing reliance on digital payments for everyday transactions. As the nation embraces these changes, it is essential to ensure that the benefits of this digital transformation are accessible to all.
NationPress
11 May 2026
Frequently Asked Questions
How much did UPI transactions grow in December?
UPI transactions grew by 29% year-on-year, reaching 21.63 billion transactions in December.
What was the transaction amount for UPI in December?
The total transaction amount for UPI in December was ₹27.97 lakh crore.
What impact does UPI have on digital payments in India?
UPI has revolutionized digital payments in India, making them more accessible and convenient for consumers and businesses.
How many active UPI QRs are there in India?
India has reached 709 million active UPI QR codes, marking a significant increase in digital payment acceptance.
