Kolkata: The fast and efficient UPI has just become faster. National Payments Corporation of India (NPCI), which designed and manages UPI, has implemented upgrade to the UPI server’s software, which has cut down by response time, especially when making merchant payments, by as much as 66%. The changes have come into effect from Monday, June 16. Analysts said they didn’t think it will entail any additional cost on NCPI and/or the consumer.
Known as Application Programming Interface, this software functions as a connection between merchant’s bank terminal and the UPI enabled bank account — a junction where a few tasks such as validating the transaction, knowing its status, reversing any failed transactions — takes place. After the changes designed by NCPI were implemented, the time taken for these processes can dip from 15-30 seconds to about 10 seconds.
NCPI informed in April
That NCPI was engaged in the task of cutting down response time was communicated in April this year. While “Request Pay, Response Pay” (Debit and Credit) that takes place between remitter bank and beneficiary bank took 30 seconds, NCPI targeted to achieve it in 15 seconds. The response time of 30 seconds for “Check transaction status” was cut own to 10 seconds, while “Transaction reversal” (debit and credit) used to take 30 seconds, it was cut down to 10 seconds. Finally, “Validate Address” that took place between Payer PSP, Payee PSP, Beneficiary Bank time has been slashed from 15 seconds to 10 seconds.
NPCI said in the circular: “The aforementioned revisions are intended to improve the customer experience. The members are required to ensure that they make the necessary changes in their system so that responses are handled within the revised time. If the members have any dependency/configuration changes at partner/ merchant’s end, then the same also has to be taken care accordingly. Further, Members are requested to ensure that the changes to the response time should not adversely impact the technical decline (TD) thresholds.”
UPI which was introduced in April 2016 has been a resounding success. In May 2025, the UPI network carried out 18.67 billion customer-initiated transactions which were worth a cumulative Rs 25.14 trillion.
One enlightening feature of UPI has been the way National Payments Corporation of India has implemented steady upgrades despite immense popularity. This step of cutting Application Programming Interface response time by about 66% is going to make the process more efficient. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
