UPI QR Code Transactions Jump 91.5% to 657.9 Million, While Credit Card Growth Slows

UPI QR code transactions in India saw a huge rise, jumping by 91.5% to reach 657.9 million transactions. This sharp increase shows that more people are choosing digital payments through QR codes for their everyday purchases. At the same time, the growth in credit card transactions has slowed down, showing a shift in how people prefer to pay.

The data, released by payment industry sources, shows that QR codes linked to the Unified Payments Interface (UPI) are becoming the top choice for small and quick payments. People are scanning these codes with their mobile phones to pay for groceries, food, fuel, and other items, making the process fast and easy.

Experts say the main reasons for this growth include the ease of use, zero transaction fees, and wide acceptance of UPI QR codes, even in small shops and street stalls. UPI works directly through bank accounts, so users don’t need to carry cash or cards.

In contrast, credit card usage is growing at a slower pace. Many people still use credit cards for big-ticket items or online purchases, but they are not using them as often for daily spending. Credit cards often come with extra charges, interest rates, and limited acceptance in smaller shops, which may be causing the slower growth.

Banks and payment companies are now focusing more on expanding QR code systems, as these have become the backbone of India’s digital payment system. Government efforts to promote digital payments have also played a key role in this growth. Initiatives like cashback offers, merchant rewards, and strong UPI apps have made QR code payments popular across cities and villages.

This trend shows a major change in how people in India manage money and payments. It also proves that digital tools like UPI are leading the future of financial transactions in the country.

With more businesses and users switching to UPI QR payments, India is moving quickly toward a cashless economy.