UPI Records Over 20 Billion Transactions in August

India’s Unified Payments Interface (UPI) continues to scale new heights, crossing 20 billion monthly transactions in August 2025. Managed by the National Payments Corporation of India (NPCI), UPI has transformed the way Indians transact digitally, enabling instant payments across urban and rural regions. This milestone highlights UPI’s growing adoption and its role as a cornerstone of India’s digital payments ecosystem.

Monthly Transaction Growth

According to NPCI data, UPI processed 20.01 billion transactions in August, compared to 19.47 billion in July, marking steady month-on-month growth. While the transaction volume reached a record, the transaction value stood at ₹24.85 lakh crore, slightly lower than July’s ₹25.08 lakh crore.

This indicates that while more users are transacting digitally, the average transaction size has stabilized, reflecting UPI’s broad adoption for both small and large payments.

Year-on-Year Growth

On a yearly basis, UPI transactions registered a 33% increase, up from nearly 15 billion in August 2024. August also saw UPI achieving significant daily transaction milestones:

• 700 million daily transactions for the first time on August 2

• 721 million transactions in a single day, setting a new record

These figures demonstrate UPI’s rapid adoption across the country and its increasing relevance in everyday financial transactions.

Expert Insights on UPI Adoption

Dilip Modi, Founder & CEO of Spice Money, commented on the milestone, emphasizing the growth of digital payments beyond urban centers:

“A 34% year-on-year surge and steady month-on-month growth show that while digital payments may have started as an urban trend, they are now rapidly catching on in rural Bharat and becoming a way of life for millions.”

Modi added that UPI’s scale is driving financial inclusion, enabling underserved communities to access credit, insurance, and savings products, fostering economic empowerment.

Ramakrishnan Ramamurthy, Chief Delivery and Operations Officer – India, Worldline, noted:

“The beginning of the festive season and increase in consumption reflects in the growth of UPI volumes over July. The drive and penetration of UPI as the primary digital payment option continues to drive adoption and continuous overall growth.”

UPI’s Role in India’s Digital Economy

Launched in 2016, UPI has become the backbone of India’s digital payments ecosystem. The platform allows instant money transfers via mobile devices, reducing dependency on cash and traditional banking infrastructure.

UPI’s growth highlights its:

• Convenience: Instant transfers 24/7

• Accessibility: Serving both urban and rural populations

• Financial Inclusion: Enabling access to formal financial services

The milestone reinforces UPI’s position as a critical enabler of India’s digital economy, supporting commerce, banking, and government disbursements.

Key Takeaways

• UPI crossed 20 billion transactions in August 2025

• Transaction value stood at ₹24.85 lakh crore, slightly lower than July

• 33% year-on-year growth compared to August 2024

• Daily transactions surpassed 700 million, setting new records

• Experts highlight UPI’s role in financial inclusion and digital adoption

UPI’s consistent growth reflects the robust adoption of digital payments in India, particularly as the festive season drives consumption and transactions.