Unified Payments Interface (UPI) transactions crossed 21.6 billion in December 2025, the highest monthly volume on record, with transaction value rising to Rs 28 lakh crore, as India’s digital payments ecosystem capped a year in which UPI handled nearly Rs 300 lakh crore of payments, as per data from National Payments Corporation of India (NPCI).
This surge comes against the backdrop of the latest RBI report, which mentioned that over 2,300 ATMS have shut in FY25 as more people are opting for digital payments.
December sets new benchmarks
As per the NPCI, UPI processed 21.6 billion transactions in December 2025, the highest monthly volume on record, which essentially surpasses November’s 20.47 billion. Transaction value rose to Rs 28 lakh crore during the month, up from Rs 26.3 lakh crore in November and above the earlier peak of Rs 27.3 lakh crore recorded in October.
On a daily basis, this translates into nearly 698 million transactions, with the average ticket size settling at around Rs 1,293.
The report further added that transaction volumes grew 29.3% year-on-year in December, while transaction value increased 20.3%. Furthermore, December marked the second instance in 2025 where volume growth fell below 30%.
Over Rs 200 lakh crore transaction in 2025
For the full calendar year, UPI clocked 228.3 billion transactions in 2025, up from 172.2 billion in 2024. Transaction value climbed to Rs 299.7 lakh crore, from Rs 246.8 lakh crore a year earlier, taking the platform close to the Rs 300 lakh crore mark, Moneycontrol reported.
There has been a steady fall in average ticket size, from over Rs 1,600 in early 2023 to about Rs 1,300 by December 2025. Grocery purchases, fuel payments, dining, local transport and bill settlements now account for a growing share of transactions.
RBI data shows cash infrastructure thinning
The digital surge is mirrored in RBI’s Trend and Progress of Banking in India report, which points to a modest decline in the country’s ATM footprint. The total number of ATMs fell to 2,51,057 as of March 31, 2025, from 2,53,417 a year earlier.
Private sector banks led the consolidation, cutting ATM numbers to 77,117 from 79,884 in FY24. Public sector banks, which still operate the largest network, reduced their count to 1,33,544 from 1,34,694. The RBI attributed the closure of off-site ATMs to customers increasingly relying on digital payment channels for routine transactions.
In contrast, white-label ATMs expanded during the year, rising to 36,216 from 34,602, indicating a selective reshaping rather than a complete withdrawal of cash access points.