UPI Falls Just Short of Government Target Despite Record Growth in FY25:

The growth figures for India’s payments behemoth, the Unified Payments Interface (UPI), has recently published estimated figures for growth, and while impressive, still have missed the mark for the government’s target for the year ending on March 31, 2025.

The goal? A staggering 20 trillion in terms of transactions, or 200 billion transactions. What did UPI achieve? An astounding 185 billion transactions. According to the National Payments Corporation of India NPCI, this number is still an impressive 18,500 crore transactions, but falls short of the ambitious target by 7.5 percent.

Numbers are Still Jaw Dropping

Even though UPI did not achieve its goal, they still managed to achieve huge numbers. For example, during the fiscal year of 2025, UPI transactions leaped from 131 billion and recorded a whooping 185 billion out of which the rest was divided this way: 115 billion being person to merchant transactions and 70 billion merchant to person sent transactions.

Additionally, the worth of all the transactions also saw a jump from Rs 200 lakh crores to Rs 260 lakh crores, which is an increase of a staggering 30 percent. As an effort to reach the goal of 200 billion, the government did subsidized Rs 1500 crore as a promotion to reach the target. This step was helpful in order further solidify UPI as one of the key components of the India Digital economy.

March 2025, Record Breaking Month

The final month for the year is said to be historic for the UPI payments as in total 18.3 billion transactions were captured, which is a high for just a month.

The figure reached 24.77 trillion rupees, a growth of 12.7% since February.

And UPI established another record on this date: the daily payment transactions exceeded 1 trillion rupees for the first time.

A Record Year

Let’s look at the calendar year 2024:

Over 172 billion payments were processed using UPI, which marks an increase of 45% from the 117 billion in the year 2023.

These transactions grew by 34% and reached 246 trillion rupees, compared to 183 trillion rupees the prior year.

UPI now constitutes 85% of all digital transactions making it apparent that UPI is the main player in India.

A Broader Participation Base

The numbers are impressive, but the platform is also becoming more inclusive. In 2024:

The NPCI designated 20 additional companies as Third Party Application Providers (TPAPs).

In total, 40 companies have been given the approval to provide UPI services since 2016.

This will allow for many new applications to be developed, resulting in new ideas and wider expansion which will increase further development down the line.