UPI to drive Indian e-com market to $150 bn in 2026

As unified payments interface based transactions continue to increase, India's e-commerce market is projected to grow from $83 billion in 2022 to $150 billion in 2026, as cash transactions decline further. UPI recorded the biggest year-on-year growth of 74.1 per cent in transaction volume as of January 2023 and digital wallets grew from 5 per cent in 2019 to 35 per cent of POS value in 2022 stimulated by UPI, according to the '2023 Global Payments Report'. With cash use declining from 71 per cent of POS transaction value in 2019 to just 27 percent in 2022, India has emerged as a global leader in payments with the development of its next-generation real-time payments (RTP) infrastructure. In the online space, the ecommerce market size is expected to grow by 82 per cent by 2026 providing a greater boost to digital payments.