The Unified Payments Interface (UPI) has demonstrated remarkable growth in transaction volume and value from September to October 2024. According to data published by the National Payments Corporation of India (NPCI), UPI recorded a staggering 16.58 billion transactions in October, marking a 10% increase from September’s 15.04 billion transactions.
The transaction value experienced a significant surge of 14%, rising to ₹23.50 lakh crore in October from ₹20.64 lakh crore the previous month. This impressive growth can be attributed to a substantial 45% year-over-year rise in transaction count and a 37% increase in transaction value.
Additionally, the average daily transaction volume rose from 501 million in September to 535 million in October, with the daily transaction amount reaching ₹75,801 crore, up from ₹68,800 crore the previous month.
In September, PhonePe continued to dominate India’s UPI market with a commanding 48% share of transaction volume. Google Pay followed in second place with 37.4%, while Paytm secured the third position with a 7% market share. Market share data for October has not yet been released.
In a recent development, the NPCI granted approval to One97 Communications Limited, the parent company of Paytm, to onboard new users onto its UPI platform. This new authorization is expected to enable the Noida-based company to expand its user base and enhance its market share in the competitive UPI sector.
The NPCI has also implemented significant changes to UPI transaction limits. The upper cap for certain types of UPI payments has been increased to ₹5 lakh, and the limits for UPI Lite Wallet and UPI 123Pay have also been raised. These adjustments are intended to promote greater adoption of digital transactions, supporting the Indian government’s ambitious goal of achieving 1 billion transactions per day by 2026-27.
