One of the prominent features at this year's G20 Summit, hosted by India, will be the impressive expansion of the country's Digital Public Infrastructure. The summit will feature a dedicated Digital India Experience Zone, which will be established in halls 4 and 14 of the Bharat Mandapam, situated in Pragati Maidan, New Delhi.
This interactive zone will provide an opportunity for delegates and leaders from 18 other member nations, as well as the European Union, to engage with a wide array of Digital India initiatives that have been launched in recent years.
A noteworthy aspect of this event is the introduction of dedicated United Payments Interface (UPI) apps by four major Indian banks for G20 delegates. These banks, namely SBI, Axis, Canara, and ICICI Bank, have equipped the delegates with digital currency worth Rs 2,000 through UPI, which they can employ to purchase various items by simply scanning QR codes. Delegates will also be introduced to flagship platforms like Aadhaar, eSanjeevani, Digi-locker, DIKSHA, Bhasini, and the newly unveiled Gita app.
This initiative arrives at an opportune moment as UPI transactions achieved a significant milestone in August this year by crossing the 1,000 crore mark. Following this achievement, the National Payment Corporation of India (NPCI) introduced six new UPI features in September. These innovations include a credit line on UPI, the conversational payment mode "Hello UPI," Billpay Connect, UPI Tap & Pay, and UPI Lite X.
The Data Intelligence unit of India Today conducted an in-depth analysis of UPI data available on the NCPI portal, tracing its growth from its inception on August 25, 2016, to August 2023. Over a span of seven years, there have been 1,024 crore UPI transactions, amounting to a total value of Rs 15 lakh crore. A recent G20 Policy Recommendation report by the World Bank highlights that "for the fiscal year 2022–23, the total value of UPI transactions was nearly 50 percent of India’s nominal GDP."
The majority of digital transactions have been carried out through third-party apps like Phone Pe, Google Pay, and Paytm, followed by Cred, the Axis Bank app, and Amazon Pay, respectively. Leading the pack, Phone Pe recorded a remarkable Rs 474.3 crore through 7.6 lakh crore transactions as of July 2023. Google Pay followed closely behind, with more than 5 lakh crore transactions worth Rs 349.4 crore during the same period.
The convenience and efficiency of UPI transactions have made it an appealing payment method not only in India but also globally, particularly in countries where cash transactions are favored over card payments. Recognizing its potential, the National Payments Corporation of India (NPCI) has extended the reach of UPI to international shores. This expansion will also enable Indian travelers to use their UPI apps for payments while abroad.
The adoption of UPI has been significant in various countries. Bhutan became the first nation to accept UPI through the BHIM app in July 2021, followed by Malaysia in August 2021, and several South-East Asian countries in September 2021. Currently, the UPI digital platform is available in approximately 20 countries, with the most recent addition being Sri Lanka in July 2023, facilitated through the Lanka Pay app.
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