lockdown impact on online transactions: UPI transactions drop in March, RTGS shoots up due to lockdown

New Delhi: After constantly rising for the past several months, the volume, as well as value, of transactions through UPI payment system dropped in March due to the 21-day nationwide lockdown imposed to combat the coronavirus infection. Unified Payments Interface (UPI) is an instant payment system developed by the National […]

New Delhi: After constantly rising for the past several months, the volume, as well as value, of transactions through UPI payment system dropped in March due to the 21-day nationwide lockdown imposed to combat the coronavirus infection.

Unified Payments Interface (UPI) is an instant payment system developed by the National Payments Corporation of India (NPCI), an RBI regulated entity.

UPI is built over the IMPS infrastructure and allows one to instantly transfer money to any bank account.

According to the data, the volume of UPI transactions in March slipped to 124.68 crore from 132.57 crore in February.

The value of UPI transactions too came down to Rs 2.06 lakh crore during March, from Rs 2.23 lakh crore in February.

The number and value of transactions through the UPI had been constantly growing, barring marginal decline in some months.

The 21-lockdown imposed by the government with effect from March 25 to fight coronavirus seems to have adversely impacted the transactions through UPI.

The real impact, however, will be known once the transactions data for April is known.

The lockdown has been extended till May 3, though with some concessions.

The NPCI data on IMPS (Immediate Payment Service) revealed the number of transactions fell to 21.68 crore in March from 24.78 crore in the previous month. There was also a decline in the value of transactions during March to Rs 2.01 lakh crore from 2.14 lakh crore in February.

IMPS provides real-time fund transfer which offers an instant, 24X7, interbank electronic fund transfer service that could be accessed on multiple channels like Mobile, Internet, ATM, SMS, Branch and USSD (*99#).

The 24X7 IMPS empowers customers to transfer money instantly through banks and RBI authorised Prepaid Payment Instrument Issuers (PPI) across India through mobile phone, internet banking and ATM.

Source Article

Lois C. Ferrara

Next Post

Road to recovery: Australia eases restrictions as coronavirus spread slows

Tue Apr 21 , 2020
SYDNEY- Declaring Australia was on the road to recovery with new coronavirus infections almost stamped out, Prime Minister Scott Morrison said on Tuesday hospitals will resume many elective surgeries and schools will be re-opened for more children. As part of broad social distancing restrictions, Australia in March banned all non-emergency […]

Tags

TL