In Brief
- UPI’s remarkable success is linked to its free-to-use model, says ex-NPCI director.
- Maintaining free access for consumers is crucial for continued adoption.
- Offers insights into UPI’s growth and digital payment revolution in India.
- Highlights importance of consumer-friendly policies for fintech ecosystem growth.
Santanu Paul, former director of the National Payments Corporation of India (NPCI), noted that the Unified Payments Interface’s (UPI) unprecedented success stems from its free access for consumers. This model has driven the widespread adoption of digital payments across India.
In his remarks, Paul emphasized that charging consumers could hinder UPI’s growth and stall the digital payment revolution. He underscored the importance of maintaining cost-free transactions for users to sustain momentum.
UPI's design has enabled millions of Indians to engage in instant, convenient, and secure payments via smartphones without fees. This accessibility has played a pivotal role in expanding India’s fintech ecosystem and promoting financial inclusion.
Paul’s insights contribute to ongoing policy discussions on the future fee structures for digital payments platforms. Policymakers are weighing how to balance sustainability and accessibility as digital transactions become integral to daily commerce.
