UPI Sets A New Record Of 1 Crore Transactions In A Day; Can It Beat Debit/Credit Card In Future?
Last year, UPI processed 1 crore transactions in month
United Payment Interface, a cashless payment interface developed by National Payments Corporation of India has set a new record!
On Wednesday, total of 10 million or 1 crore transactions happened via UPI platform, which is highest till date.
Now, the major question which arises: Can UPI beat debit card and credit card in near future?
NPICI’s UPI Hit New Record: 1 Cr Transactions In A Day!
NPCI_BHIM, the official Twitter handle of NPCI informed the nation that on Wednesday, total of 1 crore transactions were processed by them.
Considering that last June, only 10 million transactions were being processed monthly by UPI, this is indeed a major achievement.
— BHIM (@NPCI_BHIM) June 20, 2018
In December 2017, total of 169 million transactions were reported by NPCI, which swelled to 236 million in the month of May (whose total value was Rs33,289 crore)
June has shown even more progress, as 10 million transactions were processed in a single day. It is expected to touch 300 million transactions by June end.
In the last 6 months, this is an increase of 40%.
As of now, 27 million Android users have downloaded BHIM App, 1.4 million iPhone users are using BHIM. Besides, every major bank has separate app for UPI based transactions, and even wallets such as Paytm has started using UPI; and the response is extremely good.
In terms of volume, UPI has witnessed an increase of 2000%, since last year.
But, Can UPI Beat Debit/Credit Cards?
Although UPI and BHIM usage is increasing, majority of cashless enthusiasts prefer debit and credit card, as of now.
As per 2018 Digital Habits Survey, only 5% of the respondents preferred eWallets and/or UPI and BHIM app for making their digital payments.
Majority of digital transactions are still taking place via debit cards and credit cards, and this is true for both high value transactions and low value transactions.
Recently, Visa slashed 90% of the debit card usage fees, which will give a tough fight for UPI based payment interfaces.
PM Modi has already ordered all Ministers and States to boost BHIM usage, which will inturn help UPI to flourish.
In the coming months, we can witness a new level of battle between mobile wallets, UPI and debit/credit cards.
We will keep you updated.