The country’s largest Unified Payments Interface (UPI) app PhonePe is nearing 10 billion transactions even as the company prepares for an Initial Public Offering this month.
In December, PhonePe processed 9.8 billion transactions, accounting for more than 45 percent of all UPI payments, according to data available with the National Payments Corporation of India (NPCI), which operates UPI.
The Bengaluru-based company also recorded transactions worth Rs 13.6 lakh crore in December. Walmart-owned PhonePe has more than 20 crore active UPI users.
PhonePe has filed draft papers with market regulator Sebi for a mega IPO via the confidential pre-filing route and is looking to raise around Rs 12,000 crore ( $1.35 bn)
Google Pay recorded 7.3 billion transactions worth Rs 9.5 lakh crore during the month. Google Pay’s market share stood at 34 percent last month.
NPCI’s goal is to reduce the market share of a single UPI app below 30 percent. Both apps are well above the 30 percent mark. However, NPCI has stayed away from enforcing the 30 percent market cap rule, as there is no clear way to implement it without inconveniencing the end-users.
UPI hit 21.6 billion transactions and Rs 28 lakh crore in a single month, underscoring UPI’s role as India’s default retail payment rail. UPI accounts for more than 85 percent of all digital transactions in the country.
Interestingly, newer UPI apps, Sachin Bansal-led Navi and Flikart Group’s super.money, along with NPCI’s subsidiary BHIM app, has gained market share over the last couple of years.
The top three apps – PhonePe, Google Pay and Paytm – together processed 95.2 percent of all UPI transactions in January 2024, which has come down to 88.3 percent in July 2025.
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