The Reserve Bank of India’s latest report reveals that in the second half of 2025, the Unified Payments Interface (UPI) dominated transaction volume with an 85.5% share, followed by NEFT at 3.6% and Prepaid Payment Instruments (PPIs) at 3.6%. Conversely, in terms of transaction value, RTGS led with 68.6% of the total value, followed by NEFT at 14.9% and UPI at 9.5%.
NEFT, known for its ability to handle both small and large transactions within an hour, holds the second-highest share in both volume and value, showcasing its versatility in India’s payment landscape. The digital payments ecosystem in India has seen significant growth, with transaction volumes increasing 33 times and values nearly tripling from 2016 to 2025.
The rapid expansion is attributed to factors such as widespread smartphone usage, the impact of Unified Payments Interface (UPI), and the increasing trust in secure digital transactions. Over the past five years, transaction volumes have grown over four times, while values have almost doubled, indicating a substantial growth rate in both volume and value.
The payment transactions in India surged from 6,437 crore in 2021 to 26,819 crore in 2025 in terms of volume, and from Rs 1,741 lakh crore to Rs 3,215 lakh crore in terms of value during the same period, recording a compound annual growth rate (CAGR) of 42.9% and 16.6%, respectively.
