UPI: A Handy Digital Initiative

On July 1, 2015 Prime Minister Narendra Modi launched the Digital India campaign to make sure that the government services are available online via electronic platforms. The aim was to increase the internet connectivity, to focus on e- governance and to provide information for all. Another important motive was eradication of shadow economy which can be achieved by enabling digital payments. The Government of India has been taking many initiatives so as to endorse digital payments in the country. By means of this paper, one of the Digital Payments mode called the Unified Payments Interface (UPI) has been studied in depth. An attempt has been made to study the mechanism of UPI. It has been found that this initiative towards digitalisation has both strengths as well as pitfalls. It is evident from the data that despite of all pitfalls, the Indian economy has experienced manifold growth in the volume of transactions via UPI.