UPI's popularity is continuously increasing. In August 2025, monthly UPI transactions surpassed 2,001 crore for the first time, with a total value of ₹24.85 lakh crore. Transactions saw a 34% increase compared to last year. However, the total value experienced a slight decline of 0.9% from July 2025's ₹25.08 lakh crore.
UPI Transaction: UPI crossed a significant milestone in August 2025, with monthly transactions reaching 2,001 crore for the first time. According to data from the National Payments Corporation of India (NPCI), the total value of these transactions during this month was ₹24.85 lakh crore, a 34% increase compared to August of the previous year. An average of 64.5 crore transactions occurred daily. However, the total value saw a 0.9% decrease from July 2025's ₹25.08 lakh crore.
First Time Crossing 2,000 Crore
In August 2025, UPI's monthly transactions crossed 2,000 crore for the first time. The total transaction value during this period was ₹24.85 lakh crore, marking a 34% increase compared to August of the previous year. In July 2025, UPI recorded 1,947 crore transactions, indicating a 2.8% growth compared to August.
Although the number of transactions increased, there was a slight decrease in the total transaction value. In July, it was ₹25.08 lakh crore, which reduced to ₹24.85 lakh crore in August, reflecting a 0.9% decline. In June 2025, 1,840 crore transactions took place, with a value of ₹24.04 lakh crore.
Average of 64.5 Crore Transactions Daily
In August 2025, an average of 64.5 crore UPI transactions occurred daily. This figure was 62.8 crore in July, representing a 34% increase compared to August of the previous year. In terms of transaction value, an average of ₹80,177 crore was transacted daily. In July, this figure was ₹80,919 crore, a slight decrease. This amount was 21% higher than August of the previous year.
UPI usage is no longer confined to major cities; it has expanded to small towns and rural areas as well. From auto-rickshaw drivers to grocery store owners, everyone is accepting UPI payments. This has resulted in reduced cash handling, making transactions faster and more secure.
UPI's Journey
UPI was launched by the National Payments Corporation of India (NPCI) in 2016. Initially, it was a novel method of digital payment. After 2016, UPI rapidly gained popularity. By August 2024, nearly 50 crore payments were being made daily. On August 2, 2025, this number exceeded 70 crore.
UPI has not only simplified payments for users but also enhanced convenience for merchants. People can now make instant payments by scanning QR codes or transferring money by number. This system has reduced the need for cash transactions and lowered the risk of cash loss.
Reasons Behind the Increase in Transactions
There are several reasons for the rise in UPI transactions. The primary reason is that adopting digital payments has become commonplace. The use of UPI has also increased in government schemes and subsidy payments. Furthermore, the user-friendly interfaces of mobile apps and banking platforms have attracted users.
Another reason is that UPI transfers money in real-time for every transaction, benefiting both small merchants and everyday customers. People are increasingly using UPI instead of cash during festive seasons and sales.
