Thread by @jamewils

Please understand that UPI is an just option of the digital transactions, which hardly covers 0.2% of total retail electronics transactions

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UPI in Oct 2016 was in its nascent state, so this comparison looks odd! Nilekanni is a business man who is excited over his business profit

Let's look at the data available public domain placed by RBI and NPCI, that is upto August 2017. So let's us talk about that

Total electronic retail transactions (Amount) in August 2017 is ₹13.99 lakh crores and UPI component is just ₹4157 crores! See whole picture

Also sink in that we withdrawn ₹2.35 lakh crores of cash from ATMs in the month of August 2017 & used multiple times for cash transactions

How many times the same currency notes are used for transactions are not difficult to compound. Same time UPI represents total transactions

There was no push for UPI before DeMon and it was in nascent stage & then created BHIM, a UPI app, by end of December 2016..

A study by Boston Consulting Group & Google estimated that in 2015, 78% of the retail payments in India happening through cash transactions

Out of the remaining 22% transactions, 13% through digital banking, 7% through cards and 2% are through cheques. So total electronic is 20%

So when we look at the year to year growth of the total electronic retail transactions, it followed same growth trajectory in previous years

Indians are slowly adopting to cashless for so many years as a choice of conveniences and as another OPTION..

So whatever growth gloating over by Nilekanni is about 0.2% of this 20% of the digital retail transactions! So that is the synoptic picture

There are many choices are available for Indians to use retail digital transactions. NEFT, IMPS, credit & debit cards, UPI, mobile wallets

If one option is charging you less commission & offers more convenience, you will naturally shift to that choice from the other. That is it

UPI is an option much superior than mobile wallets. But did you hear anything from Government about UPI before DeMon?