Dilip Asbe, Managing Director and Chief Executive Officer (CEO) at National Payments Corporation of India (NPCI) on Friday said that conversational payments, UPI lite and credit cards will drive the next wave of growth for payments in India. Asbe, in an exclusive conversation with CNBC-TV18, spoke on different payment methods and added that they have plans around conversational payments for next year to drive growth.
The payments that are processed during a chat/messaging conversation are called conversational payments. This payment happens during a live chat.
On UPI Lite, Asbe said that it is seeing increased traction especially after Paytm came onboard. Daily transactions on UPI Lite have crossed 2 lakh, he added.
Notably, Paytm Payments Banks Limited (PPBL) was the first to launch UPI LITE for multiple small-value UPI transactions. The maximum UPI Lite transaction limit is Rs 200, with a maximum cumulative limit of Rs 4,000.
Asbe further said that the government has provided subsidy to UPI and it is yet to be seen how it works out. In FY2022, the government spent Rs. 1,044 crore as a subsidy for processing UPI transactions at zero charges.
On future prospects, Asbe said, " We are in talks with RBI and government to ensure investment in UPI continues. We won’t see 10x growth in UPI which we are targeting without investments. However, we are super bullish on payments and. have only started and 10x growth is possible in next few years. The entire ecosystem will have to walk very fast to deliver features for UPI growth."
"We still haven’t finished our job with UPI. Our objective is to first get a reasonable scale on UPI, Bharat Bill Payment System (BBPS) and others before we talk about newer products," he added.
On debt card spendings, Asbe mentioned that they now have 33 percent market share on the same. Though, he added that on credit cards they are new and have a lower spend share.
"We want to exit March with a double digit credit card spend share in the market," he told CNBC-TV18.
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