The RBI explore for UPI ecosystem:
On Wednesday, Reserve Bank of India Governor Shaktikanta Das engaged in discussions with stakeholders of the United Payments Interface ecosystem regarding strategies for its potential expansion. Additionally, they addressed challenges faced by the ecosystem and explored solutions. The regulator also expressed interest in innovative ideas to onboard new users onto the UPI platform, as stated in a release.
“There were wide-ranging discussions on various aspects to widen and deepen the adoption and usage of UPI. The stakeholders shared their valuable inputs and suggestions,” the Reserve Bank said.
The gathering was attended by bank officials, executives from the National Payments Corporation of India (NPCI), third-party application providers, and technology service providers. Deputy Governor of RBI T Rabi Sankar, along with other senior officials from the apex bank, also participated in the meeting. “The RBI will review the various suggestions received and take appropriate action in due course,” stated the press release.
In the financial year 2023-24 (FY24), UPI transactions in India witnessed a remarkable surge, with volumes increasing by 56% and values by 43% compared to FY23. For the first time, UPI transactions by volume exceeded 100 billion, reaching 131 billion in FY24, up from 84 billion in FY23. Additionally, FY24 recorded a record value of Rs 199.9 trillion, compared to Rs 139.1 trillion in the previous fiscal year.
However, in April, UPI transactions experienced a slight decline in volume and value, dropping by 1% and 0.7%, respectively, compared to March. In April, transactions amounted to Rs 19.64 trillion in value, and 13.3 billion in volume, compared to Rs 19.78 trillion and 13.44 billion in March, respectively.
