UPI Expansion and Future Prospects
To bring an additional 200-300 million users onto the Unified Payments Interface (UPI) platform, substantial support is required from the Reserve Bank of India (RBI), government, and the financial ecosystem.
Current State of UPI
- Approximately 450 million users are engaged with the UPI, with 200 million being daily active users.
- The UPI currently handles nearly 17 billion transactions.
Potential for Growth
- The UPI platform has the potential to grow by 10 times its current base.
- NPCI has extended the compliance deadline for UPI providers regarding the 30% market share cap until December 31, 2026.
Factors Influencing UPI Growth
- Growth is driven by the ecosystem's diversity and the entry of new fintech players.
- Cybersecurity is emphasized as a crucial area, with a directive for fintech startups to prioritize it.
RuPay Credit Cards
- RuPay is highlighted as one of the largest domestic card networks with international acceptance.
- Currently, RuPay accounts for about 16-17% of the total credit spending in India.
