Value of UPI transactions grew from Rs 1 lakh crore in FY17-18 to Rs 200 lakh crore in FY23-24 at a CAGR of 138 percent

According to the Union Finance Ministry, the value of digital payments has grown to Rs 1,669 lakh crore in the first five months (April-August) of the current financial year 2024-25.

The ministry said that the transactions of digital payments have reached 8,659 crores during the same period. The value of UPI transactions has grown from Rs 1 lakh crore to Rs 200 lakh crore at a CAGR of 138 per cent. Moreover, the total transaction value has grown to Rs 101 lakh crore in the last 5 months (April-August FY 2024-25).

Digital payments in India have witnessed significant growth, with the total number of digital payment transactions projected to grow from 2,071 crore in FY 2017-18 to 18,737 crore by FY 2023-24, at a compound annual growth rate (CAGR) of 44 per cent, the Finance Ministry said in a statement on Friday.

The ministry said, “The transaction volume has reached 8,659 crores during the last 5 months (April-August) of the current financial year 2024-25. The value of transactions has increased from Rs 1,962 lakh crore to Rs 3,659 lakh crore at a CAGR of 11 per cent. Further, the total transaction value has increased to Rs 1,669 lakh crore in the last 5 months (April-August) of the current financial year 2024-25.”

The ministry also highlighted that UPI continues to be the cornerstone of India’s digital payments ecosystem. It said UPI has revolutionised digital payments in the country, with UPI transactions growing from 92 crore in FY 2017-18 to 13,116 crore in FY 2023-24, a CAGR of 129 per cent.

The Finance Ministry also said that efforts to accelerate the adoption of fast payment systems like UPI have revolutionised the way financial transactions are done, making real-time, secure and seamless payments possible for millions of people.

Highlighting India’s digital payments expansion in other countries, the ministry said both UPI and RuPay are expanding rapidly globally, enabling seamless cross-border transactions for Indians living and travelling abroad.

Currently, UPI is available in 7 countries, including key markets such as UAE, Singapore, Bhutan, Nepal, Sri Lanka, France and Mauritius, allowing Indian consumers and businesses to make and receive payments internationally.

According to the ministry, this expansion will boost remittance flows, improve financial inclusion and enhance India’s stature in the global financial landscape.