home Uncategorized P2P Payments Formed 82% Of Total UPI Transaction Value In April 2022 Chetan Thathoo

P2P Payments Formed 82% Of Total UPI Transaction Value In April 2022 Chetan Thathoo

UPI recorded a 10% month-on-month growth in total transactions in April 2022 at 558 Cr, while the value of the transactions also grew by over 10% to INR 9.83 Lakh Cr during the month.

Out of these, peer-to-peer (P2P) transactions constituted 82% of the total transaction value during the month at INR 8.05 Lakh Cr, according to the data released by the National Payments Corporation of India (NPCI).  On the other hand, peer-to-merchant (P2M) transactions formed 18% of the total value at around INR 1.77 Lakh Cr.

P2P transactions constituted 82% of the total transaction value during the month of April at INR 8.05 Lakh Cr.

An analysis of the P2P transactions revealed that a majority of the transactions, worth INR 6.99 Lakh Cr, were above INR 2,000, constituting 71% of the total UPI transaction value. The next biggest  chunk of payments were done in the INR 501-2,000 range, worth INR 78.07K Cr, and constituted 8% of the total UPI transaction value. 

Meanwhile, small ticket P2P payments in the range of INR 0-500 constituted about 3% of the total UPI payments value at about INR 28.7K Cr.

The P2M data revealed that transactions with a value of more than INR 2,000 formed nearly 68% of the total P2M transaction value and just 12% of the total transaction value at INR 1.22 Lakh Cr . P2M payments in the range of INR 501-2000 accounted for INR 30.75K or 3.6% of the total transaction value. On similar lines, payments in the range of INR 0-500 also accounted for 2.4% of the total transaction value processed in April, at about INR 24,407 Cr.

P2P transactions accounted for 59% while P2M transactions formed 41% of the total transaction volume processed. More than 3.3 Bn P2P and 2.2 Bn P2M transactions were processed in the month of April. Nearly 60% of the P2P UPI volumes belonged to the range of INR 0-500. Essentially, the majority of the total P2P transactions, 1.9 Bn, were small-ticket size.

P2P transactions accounted for 59% while P2M transactions formed 41% of the total transaction volume processed.

19% or 648 Mn P2P UPI transactions belonged to the value bracket of INR 501-2,000 while 694 Mn P2P transactions were processed that had a lot of size of more than INR 2,000.

The trend was also reflected in P2M transactions where the majority of the volumes processed were of small-ticket size. 80% of the total P2M transactions processed belonged to the value bracket of INR 0-500, accounting for 1.8 Bn transactions. Nearly 304 Mn processed transactions belonged in the range of INR 501-2,000, while 133 Mn transactions had a value size of more than INR 2,000.

In March, 81% of the P2P transaction value and 69% of the P2M transaction value had a lot size of more than INR 2,000. Small-ticket transactions in the range of INR 0-500 constituted 60% of P2P volumes and 80% of P2M transaction volumes.

According to NPCI data, more than 316 banks were live on the UPI platform in April 2022. The State Bank of India (SBI) led the segment in April by processing about 154 Cr transactions, followed by HDFC Bank with 49 Cr transactions and Bank Of Baroda with 36 Cr transactions.

Meanwhile, the payments platform is currently in the middle of a major storm brewing between crypto exchanges and the government. On May 11, Coinbase CEO Brian Armstrong said that the US-based crypto trading firm had disabled its UPI services because of ‘informal pressure’ from the Reserve Bank of India (RBI).

On the other hand, India continues to be a leader in the digital payments arena. A recent ACI Worldwide’s report on real-time payments across the world reported that India led the world in real-time payment transactions in 2021. According to the report, India reported 48.6 Bn transactions, representing more than 40% of the global transactions emerging from the country.

The post P2P Payments Formed 82% Of Total UPI Transaction Value In April 2022 appeared first on Inc42 Media.

UPI recorded a 10% month-on-month growth in total transactions in April 2022 at 558 Cr, while the value of the… NewsInc42 Media

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