Payments applications in India are doing a wonderful job. There are not a lot of payments’ application but a couple of UPI based applications are doing brilliantly. People are loving the applications and the services offered by these applications. PhonePe and GooglePay are two of the most used applications in India apart from BHIM which is the official government application. PhonePe is powered by Flipkart while GooglePay by Google.
However, what is distinctive about these two payments’ application is that they work in tandem with the government-backed Unified Payments Interface or normally known as UPI. They use UPI’s interface to make or receive a payment for a user. That makes it easier for the users and they can trust the application as it uses a National Payments Corporation of India (NPCI) certified interface.
NPCI has made a lot of updates since it first launched UPI in 2016. It updated to version 2.0 of the UPI which had upgrades such as if the payee and the payer is the same account then that will be blocked immediately. Apart from this, the feature of generating collect payments request with invoice/bill or one-time mandate with block feature are some of the features added to the UPI.
That said, UPI is turning out to be a huge success. Since its inception, it has garnered a lot of users through various applications and foreign applications such as Paytm, PhonePe, GooglePay, and even MiPay have now accepted UPI. This has made UPI the central figure among payments’ applications as there is only one way to transfer your money and that is through UPI. Its success is down to its unfazed functionality and continuity.
Anyhow, the application has produced some unbelievable numbers. There were an astonishing 620 million transactions only in the month of December. That is not it, the total number of transactions reached up to 3 billion in the calendar year of 2018. These numbers show how successful the interface has been. However, that is not it, UPI has carried out transactions worth $14.73 billion in December. The month of November had transactions worth $11.78 billion and the number of transactions was 524 million.
The numbers are beyond our imagination as the number of people using the application is only going to increase. From the month of November to December there was an increase in transactions by 18%. This is not going to stop as the digital payments market is only going to rise from here. The money is going to flow digitally more than physically. The digital payments market in India is already worth around $200 billion and it is going to rapidly grow if we are to believe the numbers. Research shows that by 2023, the worth of the digital payments market in India is going to reach $1 trillion.
– Unmesh Phule