SBI, HDFC Bank, Axis Bank, and ICICI Bank were among the top remitter banks witnessing the highest UPI transaction volume in January. Among beneficiary banks, CITI Bank saw zero transactions failing due to technical reasons.
Public sector lender Union Bank of India continued to witness the highest failure rate for UPI transactions among India’s top 30 UPI remitter banks due to technical reasons in January. From 10.75 per cent technical decline (TD) in December, the failure rate jumped to 12.89 per cent in January for Union Bank of India, data from the National Payments Corporation of India (NPCI) showed. 85.95 million UPI transactions were processed by Union Bank of India during the month out of which nearly 80 per cent were approved while 7.36 per cent were declined due to reasons including invalid pin entered by customer, incorrect beneficiary account, exceeding per transaction limit or permitted count of transactions per day or amount limit for the day, etc. Andhra Bank and Indian Bank recorded the second and third highest TD rate of 10.40 per cent and 9.83 per cent respectively in January.
Among the top 30 UPI beneficiary banks (bank of the account holder who is receiving money) as well, Indian Bank recorded the second-highest TD rate of 5.50 per cent while Syndicate Bank topped the tally with 8.65 per cent. Karnataka Bank posted the third-highest TD rate of 3.18 per cent among UPI beneficiary banks in January. State Bank of India, which posted the highest TD rate of 9.08 per cent in December, improved it to 1.52 per cent in January.
Paytm Payments Bank recorded the lowest TD rate of 0.05 per cent on 145.61 million transactions in January among remitter banks. In terms of transaction volume, the top remitter banks were SBI (664.75 million), HDFC Bank (206.65 million), Axis Bank (173.38 million), and ICICI Bank (152.06 million). Among beneficiary banks, CITI Bank saw zero transactions failing due to technical reasons on 5.94 million transactions. Paytm Payments Bank (368.90 million), SBI (354.61 million), Yes Bank (273.95 million), ICICI Bank (237.59 million), and Axis Bank (207.61 million) saw the highest volume among beneficiary banks.
Walmart-owned digital payments company PhonePe was the highest UPI app in January processing processed 968.72 million UPI transactions involving nearly Rs 1.92 lakh crore. PhonePe volume was more than 100 million transactions higher than Google’s 853.53 million transactions worth Rs 1.77 lakh crore. Paytm Payments Bank, however, remained the distant third player with a volume of 332.69 million worth Rs 37,845.76 crore.