UPI average transaction crosses Rs 1 lakh crore a day for first time in October amid the festive season
UPI recorded an average daily transaction value of Rs 1,01,707 crore in October, crossing the Rs 1 lakh crore mark for the first time. Daily transaction volume also increased to 822 million, up from 802 million in September, driven partly by higher digital payments during the festive season.
UPI average transaction crosses Rs 1 lakh crore a day
October saw UPI reach record highs, with total transaction value rising to Rs 31.53 lakh crore from Rs 29.37 lakh crore in September. Transaction volume also increased from 24.07 billion to 25.47 billion, highlighting the continued growth of digital payments in India.
The record comes as the industry prepares for a proposed Merchant Discount Rate (MDR) on certain UPI transactions. NPCI deferred the implementation until after Diwali, with the revised date yet to be announced. Under the proposal, eligible merchant transactions above Rs 2,000 would attract a 0.4% charge, capped at Rs 300, while person-to-person transfers would remain free.
Certain payments, including fuel, railway tickets and utility bills, would instead carry a flat Rs 5 fee on eligible transactions above Rs 2,000. Merchants receiving less than Rs 1 lakh per month through UPI would be exempt. Industry estimates suggest the framework could generate around Rs 15,000 crore, helping banks and payment providers cover the cost of expanding and maintaining India's digital payment infrastructure.
UPI recorded an average daily transaction value of Rs 1,01,707 crore in October, crossing the Rs 1 lakh crore mark for the first time. Daily transaction volume also increased to 822 million, up from 802 million in September, driven partly by higher digital payments during the festive season.
UPI average transaction crosses Rs 1 lakh crore a day
October saw UPI reach record highs, with total transaction value rising to Rs 31.53 lakh crore from Rs 29.37 lakh crore in September. Transaction volume also increased from 24.07 billion to 25.47 billion, highlighting the continued growth of digital payments in India.
The record comes as the industry prepares for a proposed Merchant Discount Rate (MDR) on certain UPI transactions. NPCI deferred the implementation until after Diwali, with the revised date yet to be announced. Under the proposal, eligible merchant transactions above Rs 2,000 would attract a 0.4% charge, capped at Rs 300, while person-to-person transfers would remain free.
Certain payments, including fuel, railway tickets and utility bills, would instead carry a flat Rs 5 fee on eligible transactions above Rs 2,000. Merchants receiving less than Rs 1 lakh per month through UPI would be exempt. Industry estimates suggest the framework could generate around Rs 15,000 crore, helping banks and payment providers cover the cost of expanding and maintaining India's digital payment infrastructure.
October saw UPI reach record highs, with total transaction value rising to Rs 31.53 lakh crore from Rs 29.37 lakh crore in September. Transaction volume also increased from 24.07 billion to 25.47 billion, highlighting the continued growth of digital payments in India.
The record comes as the industry prepares for a proposed Merchant Discount Rate (MDR) on certain UPI transactions. NPCI deferred the implementation until after Diwali, with the revised date yet to be announced. Under the proposal, eligible merchant transactions above Rs 2,000 would attract a 0.4% charge, capped at Rs 300, while person-to-person transfers would remain free.
Certain payments, including fuel, railway tickets and utility bills, would instead carry a flat Rs 5 fee on eligible transactions above Rs 2,000. Merchants receiving less than Rs 1 lakh per month through UPI would be exempt. Industry estimates suggest the framework could generate around Rs 15,000 crore, helping banks and payment providers cover the cost of expanding and maintaining India's digital payment infrastructure.
The record comes as the industry prepares for a proposed Merchant Discount Rate (MDR) on certain UPI transactions. NPCI deferred the implementation until after Diwali, with the revised date yet to be announced. Under the proposal, eligible merchant transactions above Rs 2,000 would attract a 0.4% charge, capped at Rs 300, while person-to-person transfers would remain free.
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