The National Payments Corporation of India has introduced a new offline mode for Unified Payments Interface payments that allows users to complete transactions without mobile data. The service supports payments of up to ₹5,000 and carries a nominal fee of 50 paise per transaction.
A new step towards inclusive digital payments
The offline UPI feature works through the *99# USSD channel, making it accessible on both feature phones and smartphones. This update is designed to support users in regions with poor or inconsistent connectivity, strengthening the reliability of the country’s digital payment ecosystem. With India’s payment volumes continuing to surge, the offline option adds an important layer of resilience for users and merchants.
How the offline UPI mode works
Users can dial *99# from their registered mobile number to access the UPI menu without the need for an active data connection. The process allows them to make quick payments, check balances and manage basic UPI functions. The 5,000-rupee limit ensures that essential transactions can continue even when internet services are unavailable.
The 50-paise transaction fee keeps the service economical, especially for small-value transfers that are common in day-to-day spending. Banks and payment service providers will enable the feature in phases, and adoption will depend on each institution’s readiness.
Why this launch matters
The introduction of offline UPI is a significant step for digital inclusion. It fills a crucial gap for users in rural and low-connectivity regions and offers a dependable backup for urban users facing temporary network disruptions. It also strengthens merchant confidence, particularly in markets and locations where connectivity often fluctuates.
The feature aligns with NPCI’s broader goal of expanding digital payments access across India and ensuring that the UPI ecosystem remains both scalable and dependable.
What to watch next
Industry observers will be closely tracking how quickly banks activate the offline mode, the level of user adoption in rural areas and the overall impact on UPI transaction volumes. Merchants are also expected to evaluate how effectively the offline option supports seamless payments during peak hours and high-traffic events.
Bottom line
NPCI’s launch of offline UPI offers a practical solution that enhances the reach and reliability of digital payments in India. By supporting transactions without internet access and keeping costs low, the new feature strengthens the country’s digital infrastructure and ensures continuity for millions of users in diverse connectivity environments.
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