Online payment platforms have found a rise in their popularity ever since PM Modi started urging for a digital India. Another reason that online payments took over the conventional modes of payment is the demonetization of the Rs. 1000 and Rs. 500 notes announced by the Prime Minister.
Among all the online platforms for payment, the UPI mode of transactions has proven to be most popular among citizens.
UPI To Overtake Visa And MasterCard In The Next 1000 Days
As revealed by new developments, the last two years have seen a huge boost in the transactions conducted over UPI. And in the next 1000 days, UPI transactions are estimated to increase so much as to beat Visa and MasterCard as well!
As per reports given by the Reserve Bank of India, the volume of UPI transactions has increased by 13 times during FY18 and FY20. in the same time span, the value of transactions conducted over UPI has increased by as much as 20 times.
Amitabh Kant, CEO, Niti Aayog also revealed via a tweet that with 18 billion transactions annually, Unified Payments Interface (UPI) has exceeded Amex at 8 billion transactions.
We all know that UPI is a mode of transaction that was introduced only five years ago, whereas Amex, Visa, and Mastercard have been in the market for more than a decade. While UPI has already surpassed Amex, it is estimated that it will overtake Visa and MasterCard in the next 3 years, or 1000 days.
Volume and Value Of UPI Transactions Boosted By 20 Times
In the financial year 2018, the volume of transactions of UPI was recorded to be 91.52 crores, whereas, in the financial year 2019, the volume of UPI transactions boosted to 539.2 crores. In the financial year 2020, the same volume rose to a whopping 1250 crores.
The value of these transactions was Rs 1.09 lakh crore in FY18, Rs 8.77 lakh crore in FY19 and Rs 21.32 lakh crore in FY20.
UPI has been a preferred form of online transactions, especially during a time where the entire world is fighting the COVID-19 pandemic. This is because UPI is probably the only online payment mode that ensures social distancing and no actual contact takes place while transacting.
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