India's flagship digital payments platform, the Unified Payments Interface (UPI), has recorded another month of stellar growth, solidifying its dominance in the country's financial ecosystem. Data released by the National Payments Corporation of India (NPCI) for November reveals a significant year-on-year surge in both the volume and value of transactions, showcasing accelerating public adoption.
Robust Growth in UPI Transaction Volumes
The latest figures indicate that the total value of UPI transactions for November reached an impressive ₹26.32 lakh crore. This marks a substantial 22% increase compared to the same month last year. When looking at the sheer number of transactions processed, the growth is even more pronounced. UPI facilitated a staggering 20.47 billion transactions in November, which translates to a remarkable 32% year-on-year jump.
Breaking it down to a daily average, the system handled approximately 682 million transactions each day. The average daily transaction amount stood at a colossal ₹87,721 crore. While these numbers are slightly lower than the record highs of October, which saw ₹27.28 lakh crore in value and 20.70 billion in count, the November data still reflects a strong sequential performance with month-on-month increases of 16% in transaction amount and 25% in transaction count.
Aadhaar-Based Payments and European Expansion
Beyond UPI, the NPCI's Aadhaar-enabled Payment System (AePS), a critical tool for financial inclusion in rural India, also posted healthy growth. In November, AePS recorded 108 million transactions worth ₹28,428 crore. This represents a yearly increase of 17% in volume and 19% in value. AePS allows citizens in remote areas to access banking services using just their Aadhaar number and biometric authentication at local touchpoints.
Concurrently, a major strategic development is underway to take UPI global. The Reserve Bank of India (RBI) has announced that it has moved to the implementation phase for linking UPI with Europe's instant payment system, TARGET Instant Payment Settlement (TIPS). This initiative is being pursued in partnership with NPCI International Payments Limited (NIPL), the international arm of NPCI.
Operationalising Cross-Border Payments with Europe
Following discussions with the European Central Bank (ECB), the technical integration process has begun. The RBI and NIPL will collaborate closely with the ECB to operationalize the UPI–TIPS link, focusing on technical compatibility, risk management frameworks, and settlement arrangements. TIPS is the instant payment system operated by the Eurosystem, which includes the ECB and the central banks of eurozone countries.
This integration is a landmark step that will enable seamless and instant cross-border payments between India and the eurozone, potentially reducing costs and increasing efficiency for individuals and businesses engaged in international transactions. It marks a significant move in positioning India's homegrown digital payments infrastructure on the world stage.
