Unified Payment Interface (UPI) saw an increase of 4% in the total transaction volumes taking place between August 2019 and September 2019, according to data published by the National Payments Corporation of India (NPCI). The amount transacted grew 4.5% between August and September 2019. NPCI is a private company owned by Indian banks, it owns and operates important payments systems such as UPI and IMPS.

The total number of transactions in September 2019 was around 2.35 times higher than in the same month last year. The amount transacted went up marginally to Rs 161,457 crores over August 2019. The amount transacted in September 2019 was 2.7 times higher than in September 2018. However, given the limited impact of seasonality on digital payments, and the fact that this is supposed to be a high growth sector, month-on-month data needs to be looked at.

Some observations

1. A significant growth could be seen in number of transactions and amount transacted. Thus, the amount transacted per day has been on increase May 2019 onwards.

2. The number of transactions grew by 36.7 million in September, whereas the total amount transacted went up by Rs 6,951.7 crores. In the previous month (August 2019), volume had increased by 96.1 million and the amount transacted had grew by Rs 8,118.3 crores.

3. The average amount per transaction slightly  increased to Rs. 1,691 for September 2019 with more increase in the number of transactions. It has been trending down since May 2019. The average amount per transaction has remained above Rs 1,000 mark for the last 12 months.

4. The number of banks on UPI remained stagnant in September 2019.