UPI payment apps such as Google Pay, PhonePe, Paytm, and others may soon impose a transaction limit. Users may soon be unable to make unlimited payments through UPI payment apps.
The National Payments Corporation of India (NPCI), which operates the UPI digital pipeline, is in talks with the Reserve Bank about implementing the Reserve Bank’s proposed December 31 deadline for limiting player volume to 30%. There is no volume cap at the moment, and Google Pay and PhonePe account for roughly 80% of the market. In order to avoid concentration risk in November 2022, NPCI proposed a 30 per cent volume cap for third-party app providers (TPAP).