UPI Records Strong December Finish In 2025, Value Of Transactions Reaches Rs 28 Lakh Crore

UPI Ends 2025 at All-Time High as December Volumes Hit 21.6 Billion

India’s digital payments ecosystem closed 2025 on a strong note, with UPI transactions reaching a record 21.6 billion in December, the highest monthly volume ever recorded. This was higher than 20.47 billion transactions in November, underlining UPI’s continued dominance in everyday payments.

The value of transactions rose to Rs 28 lakh crore, up from Rs 26.3 lakh crore a month earlier and above the earlier peak of Rs 27.3 lakh crore seen in October. On average, Indians carried out nearly 698 million UPI payments every day during the month.

However, while volumes surged, average ticket sizes continued to shrink. The typical UPI transaction in December was worth around Rs 1,293, reinforcing the shift toward small, routine payments rather than large-value transfers. From groceries and fuel to dining, transport, and bill payments, UPI is now deeply woven into daily consumption.

Growth Strong, But No Longer Explosive

Despite operating on a high base, UPI posted 29.3 percent year-on-year growth in transaction volumes and 20.3 percent growth in value. The slower growth in value compared to volume suggests that expansion is being driven by wider usage and habit formation, not bigger payments.

December was also only the second month in 2025 when volume growth slipped below the 30 percent mark, pointing to a gradual normalisation after years of rapid expansion—though from an exceptionally large base.

2025: A Defining Year for Scale

On a full-year basis, UPI handled 228.3 billion transactions in 2025, up from 172.2 billion in 2024. Total transaction value climbed to Rs 299.7 lakh crore, compared with Rs 246.8 lakh crore a year earlier.

The steady fall in average ticket size—from over Rs 1,600 in early 2023 to nearly Rs 1,300 now—highlights UPI’s evolution into the backbone of India’s retail payments ecosystem.

Volume Vs Value: A Clear Divide

In the first half of 2025, UPI accounted for 84.8 percent of all digital payment volumes, far ahead of NEFT and IMPS, according to RBI’s Payment Systems Report, June 2025. However, in value terms, UPI’s share stood at just 9 percent.

Large-value systems like RTGS dominated transaction value, contributing 69 percent of total digital payment value, despite accounting for only 0.1 percent of transaction volumes. With a minimum transaction size of Rs 2 lakh, RTGS remains a wholesale payment channel—high value, low frequency—while UPI continues to power India’s everyday digital economy.