Navi crosses 1% market share in UPI transactions in December 2024

This is the first time in many months that a firm outside the top three has achieved this

Fintech firm Navi saw its market share cross just over 1 per cent on India’s real-time payments system, Unified Payments Interface (UPI), in December 2024. This marks the first time in months that a firm outside the top three players—PhonePe, Google Pay, and Paytm—has achieved this feat.

 

In comparison, the Bengaluru-based company processed less than 0.01 per cent of the ecosystem’s total transactions in December 2023. Navi launched UPI payments on its application in August 2023.

 

Flipkart-backed Super.money clocked 101.81 million transactions in December 2024, becoming one of the fastest fintech firms to breach the 100 million mark since launch. The company rolled out its services in July 2024.

 

In December 2024, PhonePe, Google Pay, and Paytm held market shares of 47.72 per cent, 36.7 per cent, and 6.88 per cent, respectively. A month earlier, in November, these were the only players with a market share exceeding 1 per cent, according to data from the National Payments Corporation of India (NPCI).

 

Paytm’s market share recorded a slight month-on-month decline from 6.91 per cent in November 2024. However, when compared to 13.09 per cent in December 2023, its market share has dropped significantly to 6.88 per cent in December 2024, largely due to the Reserve Bank of India’s (RBI) action on its associate entity, Paytm Payments Bank. Shares of One97 Communications Ltd, which operates the Paytm brand, closed 8.2 per cent lower at Rs 902.05 per share on the BSE.

 

Notably, all the top three players experienced a month-on-month decline in market share. PhonePe’s share dipped by 8 basis points, while Google Pay’s saw the steepest decline of 32 basis points.

 

Last month, the NPCI extended the deadline for implementing a 30 per cent transaction volume cap on third-party UPI apps by two years, pushing it to December 31, 2026. This marks the second extension of the deadline.

 

The NPCI had initially proposed a 30 per cent cap on the transaction volume of UPI apps in November 2020, granting existing players two years to adhere to the limit.

 

Additionally, the NPCI lifted the UPI user onboarding limit for WhatsApp Pay, the UPI platform of messaging giant WhatsApp. This move allows WhatsApp to extend its UPI services to all its users in India.