UPI breaks record with 14.04 billion transactions in May, sees 49% year-on-year growth

Both the NPCI and the Reserve Bank of India (RBI) are exploring additional use cases for UPI and extending its reach into the rural economy.

The Unified Payments Interface (UPI) network, operated by the National Payments Corporation of India (NPCI), has set a new record by processing 14.04 billion transactions in May, up from 13.3 billion in April, according to data released by NPCI on June 1.

By value, UPI transactions amounted to Rs 20.45 lakh crore in May, compared to Rs 19.64 lakh crore in April.

This surge follows a slight dip in transaction volumes in April, where the network saw a 1 percent decline to 13.3 billion transactions from 13.44 billion in March.

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In May, the average daily transaction amount was Rs 65,966 crore, with an average daily transaction count of 453 million, reflecting a 49 percent year-on-year growth.

Both the NPCI and the Reserve Bank of India (RBI) are exploring additional use cases for UPI and extending its reach into the rural economy. On May 8, RBI Governor Shaktikanta Das met with key stakeholders in the UPI ecosystem to discuss strategies for further expanding UPI's reach. The meeting included representatives from banks, NPCI, third-party application providers, and technology service providers, the RBI said in a press release.

Stakeholders shared strategies for scaling up UPI infrastructure, expanding the product portfolio, addressing challenges in the ecosystem, and integrating potential users into the digital payments system, the release added.