Retail digital payments surge; UPI leads with 81% share
image for illustrative purpose
New Delhi: Finance Minister Nirmala Sitharaman on Monday said the Unified Payments Interface (UPI) accounted for around 81 per cent of total retail digital payment transactions in FY25, making it the world’s largest real-time retail payment system.
In a written reply to the Lok Sabha, the minister said retail digital payment volumes rose sharply from 7,176.9 crore transactions in FY22 to 22,167.9 crore in FY25.
In value terms, digital payment transactions increased from Rs 457.44 lakh crore in FY22 to Rs 849.12 lakh crore in FY25. Transaction volumes grew by 58.42 per cent in FY23, 44.39 per cent in FY24 and 35.04 per cent in FY25. In value terms, the growth was 28.41 per cent in FY23, 22.47 per cent in FY24 and 18.04 per cent in FY25.
The growth in retail digital payments has been driven by higher smartphone penetration, Aadhaar-enabled authentication, e-KYC adoption, wider financial inclusion and expansion of merchant acceptance infrastructure across urban and rural areas.
