Finance Ministry lists 10 things that make UPI unique, says record 1,658 crore transactions processed in a month

Stating that the Unified Payments Interface (UPI) has revolutionised digital payments in the country, the Ministry of Finance said on Sunday that a record 1,658 crore financial transactions, amounting to Rs 23.5 lakh crore, were processed in October, marking an increase of 45 per cent over the corresponding period a year ago. Launched in 2016 by the National Payments Corporation of India (NPCI), UPI has revolutionised the nation’s payment ecosystem by integrating multiple bank accounts into a single mobile application, according to an official statement. The ministry also said that the UPI system enables seamless fund transfers, merchant payments and peer-to-peer transactions, offering users flexibility through scheduled payment requests.

"UPI has not only made financial transactions fast, secure, and effortless, but it has also empowered individuals, small businesses, and merchants, driving the country’s shift toward a cashless economy. This remarkable achievement highlights India’s commitment to leveraging technology for inclusive growth and economic progress," the ministry wrote.

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The finance ministry highlighted 10 key points that make the country's Unified Payments Interface unique:

• Round-the-Clock Accessibility: The Unified Payments Interface enables instant money transfers using mobile devices seven days a week and 365 days a year.
• Unified Banking Access: The UPI enables users to access multiple bank accounts through a single mobile app.
• Seamless and Secure Payments: The UPI offers single-click, two-factor authentication that ensures regulatory compliance and secure, one-click transactions.
• Enhanced Privacy: The UPI uses a virtual address for transactions. This eliminates the need for users to share sensitive details like account numbers or IFSC codes.
• QR Code Integration: The UPI facilitates easy payments through QR code scanning. This supports quick and secure transactions.
• Cash-On-Delivery Alternative: The Unified Payments Interface simplifies transactions by replacing the hassle of cash payments during deliveries.
• Merchant and In-App Payments: It supports payments for merchants through a single app or directly within apps.
• Diverse Payment Options: The UPI covers utility bill payments, ITT transactions, and scan-and-pay features.
• Flexibility in Transactions: It enables financial activities such as donations, disbursements and collections with ease.
• Customer Support: The UPI enables users to raise complaints directly from the mobile app.

All in all, UPI has revolutionised the way India conducts financial transactions: Finance Ministry

The UPI has also positioned the country as a global leader in digital payments.

"By offering a seamless, secure, and accessible platform for both individuals and businesses, UPI has played a pivotal role in promoting financial inclusion and accelerating the nation’s shift towards a cashless economy," said the ministry.

The UPI's remarkable growth, in terms of transaction volumes as well as geographical reach, highlights its transformative impact on the financial landscape, it noted.

"As UPI continues to expand globally, it is setting new standards for digital payments, empowering citizens, enhancing economic opportunities, and contributing to India's increasing influence in the global financial arena," the ministry added.