NPCI puts cap on third party apps' share of UPI transactions starting Jan 1

Currently, third party applications such as PhonePe, Google Pay, Paytm, and Amazon Pay, dominate the UPI ecosystem, controlling a majority of the transactions

The National Payment Corporation of India (NPCI), which manages Unified Payment Interface (UPI), has decided to cap the share of total number of transaction that a third party application can process at 30 per cent of the total volume of transactions processed in UPI, effective January 1,2021.

“…with UPI reaching 2 billion transactions a month and with potential for future growth, it has issued a cap of 30 per cent of total volume of transactions processed in UPI, applicable on all Third Party App Providers (TPAPs)”, NPCI said in a statement.

NPCI has said, the cap of 30 per cent will be