Leading the World in Real-Time Payments and Financial Inclusion

India has become the global leader in fast payments, according to a recent report by the International Monetary Fund. This transformation is largely due to the Unified Payments Interface (UPI).

UPI, launched in 2016 by the National Payments Corporation of India, has revolutionized how people manage their finances. It consolidates all bank accounts within a single mobile application, enabling instant money transfers, merchant payments, and peer-to-peer transactions with ease. The system's speed and user-friendliness have contributed significantly to its popularity.

Currently, UPI processes over 18 billion transactions each month in India. This shift has propelled India away from cash and card-based payments, fostering a digital-first economy. Millions of individuals and small businesses now depend on UPI for secure and affordable transactions, making it a powerful tool for financial inclusion.

The scale of UPI's operations is impressive. In June alone, it facilitated over Rs 24.03 lakh crore in payments, encompassing 18.39 billion transactions. This represents a substantial growth of approximately 32 percent compared to the same period last year. The system currently serves 491 million individuals and 65 million merchants, connecting 675 banks on a unified platform.

UPI now accounts for 85 percent of all digital transactions in India. Its influence extends beyond national boundaries, powering nearly 50 percent of global real-time digital payments. This widespread adoption reflects trust, convenience, and speed, indicating India's steady progress towards a cashless economy.

The success of UPI extends internationally. It is currently operational in seven countries, including the UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, and Mauritius. Its introduction in France marks a significant milestone, representing UPI's initial foray into Europe, allowing seamless payments for Indian travelers and residents.

India is also advocating for UPI to become a standard within the BRICS group, which now includes six new member nations. This initiative aims to improve remittances, boost financial inclusion, and enhance India's global standing as a leader in digital payments technology.

UPI's emergence as the world's leading real-time payment system is a result of strategic planning and investment in digital infrastructure. Financial inclusion was a key initial step, with the Jan Dhan scheme opening bank accounts for millions who previously lacked access to formal banking. As of July 9, over 55.83 crore accounts have been established, providing individuals with direct access to government benefits and a secure means of saving.