Did you know? Today, most people in India find it easier and safer to pay using their phones rather than carrying cash everywhere. Whether it’s buying vegetables, paying for tea at a local stall, or shopping online, UPI (Unified Payments Interface) has made money transactions incredibly simple and quick.
During the first quarter of 2025 (April-June), Maharashtra and Karnataka led the country in it usage, setting new records. This is not just a statistic but a sign of India’s strengthening digital economy.
What is UPI, and Why Are People Adopting It Rapidly?
Unified Payments Interface (UPI) is a digital payment system that allows you to instantly send or receive money directly to a bank account using mobile apps without withdrawing cash.
People prefer UPI because:
- It is very easy to use for sending and receiving money.
- Transactions happen instantly.
- No lengthy processes are required.
- Small and large vendors alike are adopting it.
- It reduces the need to carry cash, enhancing safety.
Maharashtra Takes the Lead in UPI
During April, May, and June 2025, Maharashtra recorded the highest UPI transactions in the country, accounting for 13% of all UPI transactions. In simpler words, out of every 100 UPI payments in India, 13 occurred in Maharashtra.
Cities like Mumbai, Pune, and Nagpur see people using it for daily payments, dining bills, cab bookings, utility bills, and more. Notably, it’s not just the big cities; even small towns across Maharashtra are adopting QR code-based payments, boosting digital transactions significantly.
What’s more impressive is that Maharashtra remained at the top consistently for all three months, demonstrating the people’s growing trust in digital payments.
Karnataka Was Not Far Behind
Following Maharashtra, Karnataka held the second position, recording a 7.7% share of the country’s it’s transactions during April-June 2025.
Bengaluru, known as the technology and startup hub of India, sees rapid adoption of digital payments. Whether it’s buying coffee at a café or shopping online, people prefer using it over cash. This growing culture of digital payments is spreading to other cities in Karnataka like Mysuru, Hubballi, and Dharwad, where people are increasingly using mobile payments for daily transactions.
UPI Data for June 2025
According to the National Payments Corporation of India (NPCI), in June 2025 alone, India recorded 18,395.01 million UPI transactions with a total transaction value of ₹24,03,930.69 crore.
- Maharashtra recorded 1,741.88 million transactions (9.47%).
- Karnataka recorded 1,000.66 million transactions (5.44%).
- Uttar Pradesh, Telangana, and Tamil Nadu followed but remained behind Maharashtra and Karnataka.
Easy Reference Table
| State | Transactions (Million) | Percentage (%) | Transaction Value (₹ Crore) | Percentage (%) |
|---|---|---|---|---|
| Maharashtra | 1,741.88 | 9.47% | 2,11,433.62 | 8.80% |
| Karnataka | 1,000.66 | 5.44% | 1,34,850.46 | 5.61% |
| Uttar Pradesh | 972.29 | 5.29% | 1,23,844.58 | 5.15% |
| Telangana | 738.37 | 4.01% | 1,18,822.08 | 4.94% |
| Tamil Nadu | 699.34 | 3.80% | 1,05,130.55 | 4.37% |
UPI Product Statistics
Why Are These Numbers Significant?
- Growing trust in digital payments: People now prefer digital transactions over carrying cash.
- Convenience and safety: It reduces the chances of fraud while enabling instant payments.
- Digital adoption in smaller towns: It is no longer limited to big cities; it is spreading rapidly to villages and small towns, which is essential for India’s digital progress.
- Strengthening India’s digital economy: Increased digital transactions ensure transparency and boost economic activities.
Some Questions
While the data shows Maharashtra and Karnataka’s 13% and 7.7% share in the quarter, the percentages appear lower in June. Why is that? The clear answer will come when NPCI releases detailed state-wise quarterly data. It is likely that higher transactions in April and May pulled up the quarterly average.
ALSO READ- New UPI Rules from August 1, 2025: Understand Balance Check, Auto Payment Limits, and Status Check Updates
Conclusion: UPI Strengthening India’s Economy
Between April and June 2025, Maharashtra and Karnataka showcased their digital leadership by topping it usage charts in India. People’s trust in it is increasing rapidly, and this change is visible not just in big cities but also in small towns and villages.
In the coming times, the adoption of it will continue to grow, making everyday transactions safer, faster, and easier for everyone while strengthening India’s economy. UPI is not just transforming payment methods but is shaping India’s digital future.
Why is UPI becoming so popular in India?
It is becoming popular in India because it allows people to send and receive money instantly using their mobile phones without needing cash or visiting a bank. It is easy, secure, and works even for small payments like tea or grocery purchases, making it convenient for people in both cities and villages.
Which states led UPI transactions in April-June 2025?
During April-June 2025, Maharashtra and Karnataka led it transactions in India, with Maharashtra accounting for about 13% and Karnataka for around 7.7% of the country’s total its transactions. This reflects a strong adoption of digital payments in these states.
How many UPI transactions took place in India in June 2025?
In June 2025, India recorded 18,395.01 million its transactions, with a total transaction value of ₹24,03,930.69 crore. Maharashtra and Karnataka contributed significantly, maintaining their leading positions in UPI usage across the country.
How do you use UPI in your daily life? Share your experience in the comments below and let your friends and family know the benefits of using UPI by sharing this article.
