UPI's next hundred million users live in small-town India
Transaction data shows the fastest growth in payments is no longer in the metros. Tier-3 towns and rural districts are driving the curve.
Ishita Rao
5 min read
For years the story of digital payments in India was a metro story: QR codes at Bengaluru coffee shops, autos in Mumbai that stopped carrying change. The latest transaction data suggests that chapter is over.
The UPI curve keeps compounding
Monthly UPI transactions, billions
Growth in per-capita transaction counts is now fastest in districts classified as semi-urban and rural. Kirana stores, agricultural mandis and small-town services are the new frontier — and average ticket sizes there are falling, a sign that everyday purchases, not just large transfers, have moved on-rail.
The most important payments chart in India is no longer about whether the line goes up. It is about where the line goes up.
Written by
Ishita Rao
Ishita covers society, consumption and technology adoption across urban and rural India.
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