Reserve bank of india
The pace of adopting digital payments in the country is steadily faster and the latest signal is from the Digital Payment Index (DPI) issued by the Reserve Bank of India (RBI). The index has reached 493.22 in March 2025, which was earlier in September 2024 465.33. This growth indicates that digital transactions in the country have not only increased, but also improved the infrastructure and performance related to payment. The RBI started this index in January 2021 to measure the level of digital payment across the country. Its base year March 2018 was kept, which has been given a score of 100.
What is a digital payment index?
Digital Payment Index (DPI) is a holistic index that measures the access, acceptance and use of digital payments in India. It is mainly evaluated on the basis of three categories.
- Payment Infrastructure Supply Side (eg POS Machines, QR Code etc.)
- Payment Infrastructure Demand Side
- Payment Performance (Number, Price and Diversity)
The index up to March 2025 makes it clear that the infrastructure over digital transactions across the country has improved significantly and its use has also increased.
When and how much was the RBI-DPI index?
| Duration | Digital Payment Index (DPI) |
| March 2018 (Base) | 100 |
| March 2019 | 153.47 |
| March 2020 | 207.84 |
| March 2021 | 270.59 |
| March 2022 | 349.30 |
| March 2023 | 395.57 |
| March 2024 | 445.50 |
| September 2024 | 465.33 |
| March 2025 | 493.22 |
It is clear from these data that digital payments in India are continuously expanding. In the last six months, the index has registered a gain of 27.89 points.
What is the reason behind this increase?
According to the RBI press release, there were two main reasons behind this fast lead in March 2025:
- There has been a significant increase in the availability of QR code, UPI and digital payment means in every corner of the country (supply-side) country.
- A significant increase in the amount and diversity of transactions through mediums like UPI, IMPS, and Internet banking has seen a significant increase in the number and price of transactions.
India’s strong hold towards digital payment
UPI and other digital mediums in India have completely changed the method of payment. Transactions through mobile phones have become common now and this trend is getting stronger due to government policies, banks’ efforts and technological innovations.
RBI-DPI’s ever-growing figures show that the country is now moving forward with confidence in the direction of cashless economy. Financial inclusion has also been strengthened by this, because now from small shopkeepers to large businesses, digital payments have been started.