UPI faced a major disruption on the evening of March 26, 2025, with thousands of users unable to complete payments or transfer funds
Mumbai: Due to financial year end closing, banks in India faced difficulties processing transactions, facing intermittent transaction decline on Tuesday. The financial year 2025 ended on March 31, with the new financial year starting April 1.
National Payments Corporation of India (NPCI) that runs the UPI network in the country in a post on X (formerly twitter) said, “Today due to the financial year closing, some of the banks are facing intermittent transaction declines. UPI system is working fine, we are working with the concerned banks for necessary redressal.”
This is the second time in a week that users faced an outage while processing UPI transactions. UPI faced a major disruption on the evening of March 26, 2025, with thousands of users unable to complete payments or transfer funds. Digital payment platforms such as Google Pay, PhonePe, and others were affected. According to reports, complaints surged past 23,000 after 7:00 PM on March 26, with many users expressing frustration on social media over incomplete transactions.
Meanwhile the data released by the NPCI on Tuesday showed that March was the eleventh consecutive month of UPI transactions surpassing the Rs 20-lakh-crore mark. UPI became operational in April 2016. The UPI transaction count grew 36 per cent year on year to 18.30 billion in March while the value of the transactions grew 25 per cent year on year to Rs 24.77 lakh crore. On a sequential basis, UPI transaction volume saw a 13.59 per cent increase (month on-month) at 18.3 billion from 16.11 billion in February. On value terms the growth was 12.79 per cent from Rs 21.96 lakh crore in February. For the financial year 2024-25, UPI transactions rose 30 per cent in value to Rs 260.56 lakh crore up from Rs 200 lakh crore in FY24. Volume increased 42 per cent to 131.14 billion transactions compared with 92.48 billion in the previous year.
