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India’s payments ecosystem surged, with UPI leading 84.8 percent of digital transactions in H1 2025. RTGS dominated value at 69 percent.
UPI Powers India’s Digital Revolution as Payment Volumes Rise Sixfold Since 2019
The payments ecosystem in India has witnessed remarkable growth in recent years. In terms of volume, the payment transactions grew from Rs 3,248 crore in CY 2019 to Rs 20,849 crore in CY 2024, and, in terms of value, from Rs 1,775 lakh crore to Rs 2,830 lakh crore during this period, according to RBI’s Payment Systems Report, June 2025.
Unified Payment Interface (UPI) has accounted for 84.8 per cent digital payment share in India in terms of volume in the H1 of 2025, followed by NEFT at 3.9 per cent and IMPS at 2.1 per cent. However, in terms of value, UPS has a share of 9 per cent.
On the other hand, during this period, the Real Time Gross Settlement (RTGS) system recorded the largest share of 69 per cent in terms of value but accounted for the lowest share of 0.1 per cent in terms of volume.
Being a large value payment system, also called wholesale payment system, RTGS, with a minimum transaction amount of Rs 2 lakh, contributes higher in terms of transaction value but records fewer transactions than other payment systems.
In the HY ending June 2025 transaction volume was 12,549 crore, amounting to Rs 1,572 lakh crore.
Digital payment now handles almost 99.8 per cent of volume and 97.7 per cent of value in payment segment of the country.
Government Securities (G-Sec) market has experienced notable expansion from a value of Rs 769 lakh crore in CY 2019 to Rs 1,812 lakh crore by CY 2024. Transaction volume also increased from 13.76 lakh in 2019 to 17.6 lakh in 2024. During H1 2025, 9.85 lakh transactions with a total value of Rs 994 lakh crore had been processed.
The Large Value Payment Systems (LVPS), also called wholesale payment systems, facilitate large value and high-priority payments such as money market, securities market and interbank settlements involving banks and other financial institutions. In India, LVPS include RBI-operated system viz. Real Time Gross Settlement (RTGS) and systems operated by Clearing Corporation of India Limited (CCIL).
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst…Read More
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst… Read More
October 25, 2025, 10:36 IST
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