NPCI is looking at transactions worth $1 trillion through UPI on an annual basis

There is a lot of progress in the field of digital payments in the country. Speaking at the Global Fintech Fest 2021 (GFF 2021), NPCI Managing Director and CEO Dilip Asbe said that last year, the total digital payments reached nearly 55 billion in terms of transaction numbers, all types of payments put together.

“And, this year, we may have about 70 billion[number of digital transactions],” he said.

Last year, there were about 22 billion transactions on the UPI platform. He said this year it could be around 40-45 billion transactions.

“Given the value, we believe that UPI will be valued at over USD 1 trillion on an annual basis. We are looking at around 300 million active users monthly on the digital payments ecosystem. In all, UPI is around 200. Maybe a million,” Asbe said.

The NPCI chief said there are a large number of merchants who are accepting digital payments, including small merchants, which is more than 50 million.

“However, I still believe 10X growth is possible. Cash in circulation is approx. ₹30 lakh crore. While it continues to grow, digital payments are also on the rise, even as cash is still high,” he said.

He said schemes like Direct Benefit Transfer (DBT) and Jan Dhan Yojana are bringing cash into circulation.

“I still believe that a 10x growth in digital payments is possible for a country like India,” he said.

NPCI is an umbrella organization for operating retail payment and settlement systems in India. Unified Payments Interface (UPI) has been termed as a revolutionary product in the payment system by the Corporation.

This story has been published without modification in text from a wire agency feed. Only the title has been changed.