The IMF report recognised UPI as the world’s largest fast-payment system, reaffirming India’s global leadership in real-time digital transactions.

Key Milestones Achieved by UPI

• Largest Real-Time Payment System: The IMF’s Growing Retail Digital Payments (2025) report identified UPI as the world’s largest retail fast-payment system by transaction volume.
• Dominant Share in Global Real-Time Payments: According to Automated Clearing House International (ACI ) Worldwide’s Prime Time for Real-Time 2024, UPI accounts for 49% of the world’s real-time digital payment transactions.
• Nationwide Digital Adoption : Government, RBI, and NPCI initiatives such as BHIM (Bharat Interface for Money)–UPI incentive scheme , Payments Infrastructure Development Fund (PIDF) deployment, and expansion across public services have accelerated merchant digitalisation, creating 5.45 crore digital touchpoints and 56.86 crore QR deployments.

UPI’s Status Against Other Leading Real-Time Payment Platforms

About Unified Payments Interface (UPI)

• UPI is a system that allows users to link multiple bank accounts to a single mobile application, combining various banking features, seamless fund routing, and merchant payments. 
  • It enables instant real-time payments through a mobile phone.
• Launch: Launched in 2016 by the National Payments Corporation of India (NPCI).
  • NPCI is a non-profit body set up in 2008 by the RBI and Indian Banks’ Association to manage retail payments in India. It provides a secure, efficient infrastructure for both physical and digital transactions.
• Reach: UPI now serves 491 million users and 65 million merchants, connecting over 675 banks on one platform.
  • Apart from India, 11 countries have adopted UPI for payments.
    • Bhutan, France, Mauritius, Nepal, Singapore, Sri Lanka, the UAE, Qatar, Cyprus, and Trinidad and Tobago.
• Key Features: Instant money transfers, bill payments, merchant payments, peer-to-peer transfers, 24/7 accessibility.

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Significance of UPI

• Interoperability: UPI allows users to send money across different banks and apps using a single, common protocol. This interoperability boosted competition and improved services.
• Ease and Security: Users can make secure transactions via mobile apps with only a UPI ID, eliminating the need to share sensitive bank details.
• Convenient Features: Features like QR code payments, app-based customer support, and 24×7 access have made UPI convenient even for small, everyday transactions.
• Affordability for Businesses: For small businesses, UPI offers a zero-cost or low-cost method to accept digital payments, especially useful in rural and semi-urban areas. Its speed and affordability make it accessible for everyone.

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