National Payments Corporation of India (NPCI), announced an increase in the transaction limit of certain payments using UPI to Rs 5 lakh. This will be effective from 16 September 2024. The earlier limit was Rs 1 lakh.
The categories for which the limit has been increased include Educational Services, IPOs, Hospitals, Tax Payments, and Government Securities.
The decision is likely taken to adhere to India’s effort to elevate the nation to a digital economy.
UPI transactions have appreciatively contributed to India’s economy and Digital Public Infrastructure. UPI transactions are massively increasing all across the globe.
With this new limit, high-value transactions will be possible and it will open up many different convenient options in the financial sectors.
According to reports by NPCI, in July 2024, UPI transaction value marked a total amount of about Rs 20.6 lakh crore. The transaction count on the other hand was noted as 14.4 billion.
August 2024 also saw an increase of 41% year-on-year amount in the total number of UPI transactions.
According to reports, UPI stands at the top in terms of global transaction volume, surpassing other players like Alipay and PayPal.
