With the innovation in technology and communication sector, Unified Payments System (UPI) is fast emerging as the best financial system to meet the needs of the changing times.
Away from the difficulties in cash transactions, which take less than two seconds, people are increasingly using the facility of making payments through UPI in the country. Other digital payment methods take many times more time than UPI. Due to its merits, UPI has started spreading its foot in other countries including France, United Arab Emirates.
Due to the increased convenience of monetary transactions through mobile phone numbers within any city or even in other cities of the country, an average annual turnover of Rs 164.4 billion ($ 2 trillion) is being done through UPI. After 5G, now the UPI is preparing to fly longer as the exercise to extend the mobile network to 6G is getting faster. By next year, along with the money from ATMs, there is a plan to connect the currency of other countries with UPI. Union Communications and Information Technology Minister Ashwini Vaishnav says that after the promotion of UPI in the country, its spread has increased rapidly.
Digital transactions should be equally beneficial for all sections of people in the country. This sector is being encouraged for this. After the initiative of the government, the UPI got a new momentum with the private public sector partnership. India is growing fast on the UPI platform, further it will be used extensively in e-commerce as well. At present there are 35 crore users in the country.
UPI estimates one billion transactions per day in two years
According to a Price Water Cooper (PwC), India report, with the help of UPI, which will revolutionize digital payments, transactions will increase to 379 billion annually by 2026-27. In 2022-23, this figure was only 83.71 billion. By 2026-27, UPI will be used in about one billion transactions daily in the country. It is claimed that with the increase in UPI transactions, its share in total digital transactions will increase to 90 percent by this period.