UPI RuPay Credit Card Transactions Double In FY25

Transactions made through the Unified Payments Interface (UPI) on RuPay credit cards have surged significantly in the first seven months of the financial year 2025 (FY25), with figures doubling compared to the same period in FY24, according to data from the Ministry of Finance.

RuPay, India's indigenous payment network system, was launched in 2012 by the government-backed National Payments Corporation of India (NPCI). The RuPay credit card itself was introduced in June 2017, and in September 2022, the program expanded to allow users to link RuPay credit cards to UPI apps for merchant payments.

As of October 2024, more than 750 million transactions amounting to Rs 63,825.8 crore were processed through UPI RuPay credit cards. In contrast, the total number of such transactions in FY24 stood at 362.8 million, with a cumulative value of Rs 33,439.24 crore. This represents a substantial increase in transaction volume and value, and experts anticipate the full-year figures could exceed these totals.

The payment system's growth follows the introduction of several initiatives to boost financial inclusion, especially in tier-II and smaller regions. “In order to promote financial inclusion in tier-II and below regions, various initiatives have been taken from time to time. One such initiative is the introduction of RuPay Credit Card linked with UPI which provides additional avenues of credit facility to the users making UPI payments,” said Pankaj Chaudhary, Minister of State for Finance, in response to a question in Parliament.

Additionally, the merchant discount rate (MDR) and interchange fee on RuPay credit cards linked to UPI remain zero for transactions up to Rs 2,000 for small merchants. This policy aligns with the zero MDR strategy for UPI transactions involving savings accounts.

UPI continues to grow rapidly, having recorded 155.44 billion transactions cumulatively in 2024.

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