The Unified Payment Interface (UPI) saw an increase of 32% in the total transaction volumes taking place between July and August 2018, according to data published by the National Payments Corporation of India (NPCI). The NPCI is a private company owned by Indian banks and owns and operates payments systems such as UPI and IMPS.
The total number of transactions in August 2018 were around 19 times higher than in the same month last year. The amount transacted increased by 18% to Rs 54, 212.3 crores over July. The amount transacted in August 2018 was 13 times higher than in the corresponding month last year.
1. UPI transactions have been growing since launch, except May and last month (July). Growth has typically been driven by new launches and cashbacks: Google Tez launched on September 18, 2017, gave cashbacks, and had reported 140 million transactions for the month of October and November since launch, apart from 12 million users. The growth in August 2018 can’t be attributed to any particular service launch.
2. The number of transactions grew by 76.4 million in August 2018 whereas the total amount transacted increased by Rs 8,366.6 crores. In July 2018, volume had decreased by 10.7 million and amount transacted had grown by Rs 5,011 crores.
3. The average amount per transaction decreased to Rs 1,737 for August 2018 with the increase in volume. It has been trending up, with an increase in the Amount transacted. It has remained above the Rs 900 mark.
4. The number of banks on UPI remained stagnant in August 2018.