DIGITAL PAYMENTS SEE UPTICK IN MAY

Digital payments saw a revival in May, after the government granted some relaxation during the third and fourth phases of the lockdown, leading to a pick-up in economic activity.

April had witnessed a blip in digital payments, following the stringent lockdown.

Data by the National Payments Corporation of India (NPCI) showed the transaction volume and value, on platforms such as United Payment Interface (UPI), Immediate Payment Service (IMP S), National Electronic Toll Collection (NETCC) and Bharat Bill Payment System (BBP S), posting significant growth in May.

Transaction value for UPI, at ~2.18 trillion, surpassed that for March at ~2.06 trillion, with the volume coming in a little short at 1.23 billion versus 1.25 billion. April had seen the transaction count on UPI plummet to 0.99 billion and value to ~1.51 trillion. Thus, May saw a jump of 45 per cent in value and 24 per cent growth in transaction count.

For I MPS, t he transaction count jumped 36 per cent to 166.8 million in May, from 122.47 million in April, while the value grew 39 per cent to ~1.69 trillion against ~1.22 trillion in April. For March, the volume stood at 216.82 million with value at 2.01 trillion.

The transaction limit under IMPS and UPI is capped at ~2 lakh per transaction.

BBPS, an online bill payment system, also saw a revival with transaction count growing 30 per cent to 16.54 million in May, from 12.77 million in April. The transaction value grew about 60 per cent to ~2,179 crore in May, compared to ~1,371 crore in April. Notably, the transaction count and value in May for BBPS was more than the numbers clocked in March, which saw a clampdown in economic activity for almost 10 days.

With vehicular activity picking pace in May, toll collection also saw a huge uptick. Fastags posted an impressive jump of more above 400 per cent in transaction count at 55.17 million, and an over-300 per cent jump in value at ~1,142 crore.