Top News

Digital Desk Lucknow: A decade ago, India not only started a new payment system, but also laid the foundation of a digital payment system that changed the way money transactions were conducted from common people to small businessmen. Unified Payments Interface (UPI) has achieved unprecedented expansion in its 10-year journey.

According to Finance Ministry data, around 1.78 crore transactions were done through UPI in FY 2016-17. This figure increased to Rs 24,161.69 crore in FY 2025-26. That means the annual transaction volume increased by about 13,500 times in a decade. At the same time, the total value of transactions increased from around Rs 0.07 lakh crore in FY 2016-17 to Rs 314.23 lakh crore in FY 2025-26.

How has the picture of digital payments changed in 10 years?

UPI was launched by the National Payments Corporation of India (NPCI) under the regulatory supervision of the Reserve Bank of India. Through this, it became easy to send and receive money instantly from mobile between the accounts of different banks.

Gradually, QR code based payments, digital payments at shops and instant person-to-person money transfers became a part of everyday life.

UPI Annual Transaction Volume in Crore (Till 31st July 2026) (Source: Finance Ministry)

Today UPI is being used on a large scale not only in big cities but also by small shopkeepers, street vendors and small businessmen. Through QR code, even a small shopkeeper can become a part of the digital economy and receive payment directly from the customer.

Transactions worth Rs 314.23 lakh crore in FY 2025-26

The current reach of UPI can be understood from its transaction data. There were 24,161.69 crore transactions on UPI in FY 2025-26. Their total value was ₹314.23 lakh crore. According to the Finance Ministry, during this period an average of about 66 crore transactions took place daily.

UPI's share in India's total digital payment transaction volume in the financial year 2025-26 was about 85 percent. This shows to what extent UPI has become people's choice for digital payments in the country.

55.49 crore users and 6.5 crore merchants connected

By June 2026, more than 55.49 crore users were connected to the UPI platform. According to government data, UPI is providing services to about 6.5 crore merchants. 731 banks are connected on a single platform.

This means that UPI is no longer just a means of sending money, but has become an important part of India's larger digital public infrastructure.

An infographic showing the rise of the number of banks Live on UPI over the years (Source: Finance Ministry)

From shopkeeper to family, payment habits changed

UPI's biggest achievement isn't just its big numbers. This has made digital payments very easy in everyday life.

A street vendor can accept digital payments by placing a QR code. A small businessman can take payment from the customer without cash. A family member can send money to a relative in another part of the country in a few seconds.

That is, the digital technology which was once considered complex has now become a part of everyday payments from tea shop, vegetable market, grocery store to big businesses.

Big role of UPI in P2M payments

UPI data shows that it is used for a large number of small and everyday payments. According to the Finance Ministry, Person-to-Merchant (P2M) transactions account for about 63 percent of the total volume.

Whereas Person-to-Person (P2P) transactions account for about 71 percent of the total transaction value. This shows that on one hand UPI is a major medium for small retail payments, on the other hand it is also being used for relatively large fund transfers between people.

India has a major stake in the world's real-time payment system

The success of UPI is no longer limited to India. According to the Finance Ministry, UPI's share in the world's real-time payment transaction volume will be about 49 percent in 2025. The government calls it the world's largest real-time payment system in terms of number of transactions.

That is, India has not only expanded in the matter of digital payments domestically, but has also established UPI as an important digital payment model at the global level.

India's UPI reaches 11 countries

Made-in-India UPI is now being used abroad also. According to government data, UPI services are available in 11 foreign countries. These include Bhutan, Singapore, UAE, France, Mauritius, Sri Lanka, Nepal, Qatar, Greece and Cambodia and other countries.

This international expansion also increases the convenience of cross-border digital payments for Indian travelers and Indians living abroad.

UPI is not just a technology, it is a means of financial inclusion.

The 10-year journey of UPI cannot be understood from transaction figures alone. Its major achievement is that it took digital payments to a large section of the society.

The convenience of making payments through mobile phones and the internet has helped connect small businesses and common consumers to the digital economy. For this reason UPI is counted among the important pillars of India's Digital Public Infrastructure (DPI).

The story of UPI in 10 years shows that when technology is simplified and made accessible to people on a large scale, it can not only change the way payments are made, but also the way people participate in the entire economy.