Digital Surge: UPI and Insurance Transactions Skyrocket in Rural India

Recent data highlights a surge in UPI and insurance transactions in rural India, revealing a 33% increase in retail store payments and a 127% rise in insurance transactions. The report by PayNearby emphasizes the growing role of digital solutions in enhancing financial access across semi-urban and rural regions.

A recent report reveals a significant increase in digital payment transactions at retail stores in rural and semi-urban India, with a 33% rise in UPI transactions this year. The data reflects the expanding adoption of digital payments, according to the study by PayNearby.

Insurance transactions have also seen a dramatic surge, with a 127% uptick in volume and a 96% growth in new customer acquisition. This growth highlights the important role digital retail outlets play in reaching underserved populations, the report states.

Despite these increases, there has been a slight decline in cash withdrawals through micro ATMs and AePS, though a notable rise was observed during DBT releases. Data suggests that equipping local retailers with comprehensive digital tools is essential for enhancing financial access at grassroots levels, says Anand Kumar Bajaj, CEO of PayNearby.

(With inputs from agencies.)