UPI powers 50 pc of digital payments globally: M. Nagaraju

Mumbai, Oct 7 (IANS) UPI powers 50 per cent of digital payments globally, but despite its growth, bringing the entire community living in tribal and rural areas into the formal financial system remains a major challenge for the government, Department of Financial Services (DFS) Secretary M. Nagaraju said on Tuesday.

Talking to the media on the sidelines of the sixth Global Fintech Fest (GFF) 2025, Nagaraju said: "In many places, we are also facing challenges with internet access. Therefore, offline transactions, rural transactions, are a challenge."

Meanwhile, he reiterated that the government has no plans to impose fees on transactions made through UPI.

He emphasised the importance of GST reform, saying that some public sector insurance companies are planning to expand their business, while others are reducing commissions. Therefore, each company will design its business plan according to its capabilities.

"One thing is certain, that all insurance companies, whether public sector or private sector, have reduced the insurance cost through GST because GST has become zero," he said.

Earlier at the same event, Reserve Bank of India Deputy Governor T. Rabi Sankar announced the launch of three key digital payment innovations-- UPI Multi-Signatory, Small Value Transactions using wearable glasses via UPI Lite, and forex on Bharat Connect.

The Multi-Signatory Accounts feature will enable multi-signatory or joint accounts on UPI that require authorisation from one or more signatories to perform UPI payments seamlessly.

Signatories can conveniently use any UPI app to manage linked bank accounts, making the process more convenient and hassle-free, and enhancing transaction speed.

The Small Value Transactions using Wearable Glasses via UPI Lite will allow users to complete hands-free and secure transactions by simply scanning a QR, authenticate and complete payments through voice on Smart Glasses, without needing a phone or entering a PIN.

The Deputy Governor also launched the linkage of the FX Retail Platform with Bharat Connect, enabling retail customers to access foreign currency through their preferred payment or banking apps integrated with the Bharat Connect (BBPS) platform.

--IANS

aps/vd