According to the Economic Survey 2022–23, almost 52 per cnet of the 8,840 crore digital financial transactions in India—with a total value of Rs 126 lakh crore—were made using the Unified Payments Interface (UPI) in FY22.

According to the government’s Economic Survey released in advance of the Union Budget 2023, UPI accounted for 17 per cent of the nation’s total 3,100 crore digital transactions in FY19, and it increased to 27 per cent (1,250 crore transactions out of a total of 4,600 crore) in 2020–21.

Between FY19 and the calendar year 2022, UPI-based transactions have grown by an average of 115 per cent and 121 per cent, respectively, in volume and value. UPI reached a record-breaking 782 crore transactions valued at Rs 12.8 lakh crore in December 2022.

Additionally, in FY23, UPI processed 2,922 billion contactless merchant transactions worth over Rs 21.7 trillion (till December 2022).

The survey also found that widespread use of UPI’s digital payment system has made it possible to “formalise” transactions of all sizes.

According to the report, further formalisation will boost economic production by giving people and businesses easier access to finance and operational efficiency advantages.

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