Unified Payments Interface (UPI), which completed 10 years of operations, has reached a record Rs 314 lakh crore in transaction value in FY26, representing more than a 4,000-fold increase since inception.
The transaction value was just Rs 0.07 lakh crore in 2016-17, the first year of UPI operation.
UPI emerges as backbone of digital payments
UPI, launched on April 11, 2016, by the National Payments Corporation of India (NPCI) under the regulatory oversight of the Reserve Bank of India (RBI), has emerged as the backbone of India’s digital payments ecosystem and a critical driver of financial inclusion, the finance ministry said in a statement.
Sharp rise in transaction volume
“Over a decade of operations, UPI has demonstrated extraordinary scale and momentum. Annual transaction volume expanded from just 2 crore transactions in FY 2016-17 to over 24,162 crore transactions in FY 2025-26, representing an almost 12,000-fold surge in transaction volume,” it said.
This simultaneous expansion in both volume and value highlights UPI’s deepening role in supporting high-frequency retail payments, it said.
Milestones in 2025 growth trajectory
The Year 2025 marked a significant milestone in the growth trajectory of the Unified Payments Interface (UPI), it said.
Monthly transaction volumes crossed 2,000 crore transactions for the first time in August 2025, reaching 2,001 crore transactions, signalling a new scale of adoption, it said.
This momentum continued through the remainder of the year, with December 2025 recording 2,163 crore transactions, the highest monthly transaction volume in UPI’s decade-long journey, it said.
High-frequency usage and daily transactions
Over the course of the calendar year 2025, it said, UPI processed approximately 22,000 crore transactions in total, translating into a daily average of about 60 crore transactions.
This sustained high-frequency usage reflects the deep penetration of digital payments across the country and the growing trust of citizens, merchants, and businesses in India’s digital payments ecosystem, it said.
Expansion in bank participation
UPI has witnessed a steady and broad-based expansion in institutional participation since its launch.
“The number of banks live on UPI increased from 44 banks in FY 2016-17, the first year of operations, to 703 banks by FY 2025-26. This onboarding covers public sector banks, private banks, small finance banks, payment banks, and cooperative banks, enabling UPI’s deep geographic reach,” it said.
Each bank functions as a Remitter PSP (processing outgoing transactions) and/or a Beneficiary PSP (receiving funds), with NPCI monitoring performance metrics for all participants, it said.
Global leadership in real-time payments
As of 2024, it said, UPI accounts for nearly 49 per cent of the world’s real-time payment transaction volume, a milestone recognised by the International Monetary Fund (IMF) in its report in June 2025.
With over 66 crores transactions processed daily, UPI has surpassed global payment network, reinforcing India’s position as the world leader in instant, secure, and inclusive digital payments, it said.
Published on April 30, 2026