Signs of economic recovery with digital payments

Digital payments have picked up in May after a fall in April. This indicates the commencement of economic activity in the third and fourth phase lockdown. In the first and second phases of March-April, strict lockdown was implemented.

Transaction platforms like United Payment Interface (UPI) Intermediate Payment System (IMPS) National Electronic Toll Collection (NETCC) and Bharat Bill Payment System (BBPS) registered significant growth in May, according to data from the National Payments Corporation of India is. The value of the transaction is also indicating an increase. In the case of UPI, the transaction value was Rs 2.18 lakh crore, which is more than Rs 2.06 lakh crore in March. However, the number of transactions stood at 1.23 billion in May, as against 1.25 billion in March. The transactions from UPI in April were 0.99 billion and the transaction value was Rs 1.51 lakh crore. In this way, the value of transactions has increased by 45 percent in May and 24 percent in the number of transactions.

In the case of IMPS, transactions rose by 36 percent to 16.68 crore in May from 12.247 crore in April, while the value of transactions increased by 39 percent to Rs 1.69 lakh crore from Rs 1.22 lakh crore in April. The number of transactions in the month of March was 21.682 crore. The transaction limit under IMPS is up to 2 lakh rupees and the same is the case with UPI. Online bill payment system BBPS also saw a boom. The number of transactions increased by 30 percent to 1.654 crore in May, from 1.277 crore in April. The volume of transactions also increased by 60 percent to Rs 2,178.72 crore in May. The movement of vehicles has increased in May and this has led to a sharp increase in toll collection. Payments from Fastag increased by 400 per cent to the total number of transactions at 5.517 crore, while the value of transactions increased by 300 per cent to Rs 1,142 crore by value.