New Delhi: India’s digital payments ecosystem saw a strong comeback in March 2026, with the Unified Payments Interface (UPI) registering its highest-ever monthly transaction volume since its launch in 2016, according to data released by the National Payments Corporation of India on Wednesday.
UPI processed 22.64 billion transactions in March, marking a sharp rise from 20.39 billion transactions recorded in February. The March figure also surpassed the previous high of 21.70 billion transactions seen in January. On a year-on-year basis, transaction volumes grew by 24 per cent.
In terms of value, UPI transactions reached Rs 29.53 lakh crore in March, up from Rs 26.84 lakh crore in February. In January, the total transaction value stood at Rs 28.33 lakh crore.
The value of transactions grew 19 per cent year-on-year in March, slightly lower than the 22 per cent growth recorded in February.
On a daily basis, the average number of transactions saw a marginal increase to 730 million in March, compared to 728 million in February.
However, the average daily transaction value dipped slightly to Rs 95,243 crore from Rs 95,865 crore in the previous month.
Among UPI apps, PhonePe continued to dominate the market with a 45.5 per cent share by transaction volume in February. Google Pay held the second position with around 33 per cent share, while Paytm followed with a share of about 7 to 8 per cent.
UPI is now live in over eight countries, including the UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, Mauritius and Qatar, positioning India as a global leader in digital payments. UPI’s growing international adoption is boosting remittances, promoting financial inclusion, and strengthening India’s position in the global fintech landscape.
According to an independent study commissioned by India’s Finance Ministry, UPI has emerged as the most preferred mode of payment, accounting for 57 per cent of total payment transactions in India, surpassing cash transactions at 38 per cent, primarily due to ease of use and instant fund transfer capability.
(IANS)
