1. UPI Crosses 23 Billion Monthly Transactions for First Time

The Unified Payments Interface notched another record in May 2026, processing 23.2 billion transactions worth ₹29.90 lakh crore—the first time the network has crossed the 23-billion monthly threshold. According to NPCI data released on June 2, volume grew 3.8% and value rose 3.4% over April. Summer travel, IPL 2026 spending, and seasonal consumption were key drivers. On average, UPI handled 748 million transactions per day worth approximately ₹96,465 crore, reinforcing its position as the backbone of India’s retail digital payments.

On June 7, External Affairs Minister S. Jaishankar and Nepal’s Foreign Minister Gyawali Khanal jointly launched the linkage between India’s UPI and Nepal’s National Payments Interface (NPI) in New Delhi. The integration enables faster, cheaper cross-border P2P remittances between the two countries, building on the existing cross-border QR payment system piloted since 2024. Nepal’s FM described India as its “most important partner” and pledged to deepen digital connectivity. This follows Nepal joining the growing list of countries accepting Indian UPI payments—now numbering nine nations.

3. India-Cambodia UPI–KHQR Payments Go Live

Cambodia became the 9th country to accept UPI payments from Indian travellers, following a cross-border QR payment linkage launched on June 2. NPCI International Payments Limited (NIPL) and ACLEDA Bank activated Phase 1, allowing Indian tourists to scan KHQR codes at over 4.5 million Cambodian merchants. The arrangement, overseen by the Reserve Bank of India and the National Bank of Cambodia, reduces reliance on cash and cards for Indian visitors. Phase 2 will enable Cambodian travellers to use UPI QR payments at Indian merchants.

4. CERT-In Mandates 12-Hour Patching as AI-Driven Attacks Accelerate

The Indian Computer Emergency Response Team (CERT-In) has issued a stringent directive recommending organisations patch internet-facing vulnerabilities within 12 hours, down from previous windows, citing the growing use of AI by threat actors to automate vulnerability discovery and exploit code. On June 3, CERT-In conducted a CERT-Interact session on “Defending Against Frontier AI-Driven Cyber Risk” for ~480 participants across sectors, covering adversarial AI attacks, automated exploitation chains, and AI governance frameworks. The move signals India’s proactive tightening of its cybersecurity posture as AI-assisted threats compress attack timelines from days to hours.

5. Aadhaar App Enables Selective Identity Sharing Under DPDP Act

UIDAI’s new Aadhaar App allows users to share identity digitally via a “tap to share” feature, aligned with the Digital Personal Data Protection (DPDP) Act, 2023. The app enables selective data disclosure and offline identity verification, reducing dependency on carrying multiple physical ID cards. Aadhaar’s official announcement frames this as the identity layer going mobile-first—a significant step toward giving citizens control over their personal data while maintaining interoperability with existing verification systems.

DPI Watch tracks all seven layers of India’s Digital Public Infrastructure. This brief is auto-generated and published daily.