Flipkart-owned PhonePe, the largest user of Unified Payments Interface (UPI), said it overtook the government’s Bharat Interface for Mobile or BHIM app with a 45% share of the total transactions in August.
In an announcement, the company said that on its platform there were 7.47 million UPI transaction in August which is double that of 3.5 million UPI transactions in May this year. Thus, its share rose steadily from 39% in July and 36% in June to 45% in August and thus it has surpassed government’s BHIP app in number of transaction as well as in total shares.
PhonePe CEO Sameer Nigam said that the upcoming next version of UPI will enable several new features and drive usage further.
The company is on an overdrive to sign on new merchants, both offline and online, ahead of the festive season which is just round the corner, Nigam said. “We have already integrated around 30 of the top 100 online merchants on the PhonePe app and in the offline space we are going live in 15 pan-India chains this quarter”
According to the latest data released by the National Payments Corporation of India (NPCI), the total number of UPI transactions stood at 16.6 million in August, of which BHIM’s share was 41% with around 6.8 million transactions.
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Online firms such as FreshMenu, RailYatri, AbhiBus, Box8 and TicketNew have integrated with PhonePe while offline players such as Apollo Pharmacy , Barista, Spencer’s Retail and Café Cof fee Day are offering PhonePe as a payment option. “The bulk of our merchant transactions are through UPI,“ said Nigam.
Nigam further said that PhonePe achieved a phenomenal 66% month-on-month volume growth in August.
Last month, PhonePe had announced that it has achieved a phenomenal $2.5 Billion total payment volume (TPV) annual runrate which the company claims is the fastest ramp up seen in India’s digital payments market to date. PhonePe’s monthly transactions have grown 800% since December last year, fueled largely by exponential growth in online merchant, mobile recharge and bill payment transactions.