Abstract: The Unified Payments Interface (UPI) has rapidly emerged as a disruptive, low-cost digital payment infrastruc- ture that transforms mobile and merchant payments in India. This paper presents an in-depth empirical and technological analysis of UPI — its architecture, adoption trajectory, compar- ative performance across bank categories, and socio-economic impact. Using secondary data from industry reports (NPCI, RBI) and synthesized bank-level statistics for FY 2022–23, we apply descriptive and inferential analyses to evaluate growth trends, sectoral contributions, and operational challenges. Three visualizations (transaction growth, bank-wise volumes, and bank- type market share) are included to illustrate trends. The study highlights UPI’s role in accelerating financial inclusion, identifies technical and regulatory challenges, and outlines strategic path- ways for internationalization and resilience through AI-driven fraud prevention and enhanced infrastructure.

Keywords: UPI, Unified Payments Interface, digital pay- ments, fintech, financial inclusion, bank performance, India.

Downloads: | DOI: 10.17148/IARJSET.2025.121108