UPI Daily Transactions should surpass $1 billion in the next 5 years: Nirmala Sitharaman
The Unified Payments Interface-based transaction is anticipated to reach one billion per day in the following five years, according to Union Finance Minister Nirmala Sitharaman’s statement on Tuesday.
Speaking at a FICCI-sponsored event, Sitharaman noted that UPI reported 6.28 billion transactions of Rs. 10.62 trillion (almost Rs. 11,00,000 crore) in July 2022, according to NPCI data.
“The number of transactions is increasing significantly on a monthly basis. In the following five years, UPI plans to execute one billion transactions daily ” She added.
The Finance Minister added that India’s rural communities, tier-2, and tier-3 cities, as well as the metropolitan areas, all have very high rates of technology use. She continued, “Digital adoption by Indian citizens is phenomenal”.
Sitharaman described the future of finance as volatile, uncertain, complex, and ambiguous (VUCA).
“In my opinion, AI will play a significant role in the fintech sector in detecting fraud, criminal activity, and assessing risks. In our preparation, we must consider personal data protection, national security, and cyber security ” She added.
According to the Finance Minister, India is developing a system where only one KYC is required and can be applied in numerous contexts.
Sitharaman went on to say that account aggregators will be essential to the future of finance, which will be driven increasingly by banking and related services. According to her, 21 banks, including public sector banks, have embraced the account aggregator system.
The minister for the union emphasized that there is a clear connection between start-ups, fintech, and private equity. In the fintech sector, there are 6,636 start-ups, 21 of which are unicorns, and private equity has aided their development. Private equity is accelerating their progress, according to her.
We need to ensure that climate concerns won’t affect us since we’re talking about a digital future, she added.
Continue reading – 10 Simple steps to Update Aadhaar card