Srinagar: Jammu and Kashmir has recorded 81.02 million UPI transactions worth ₹10,254.43 crore in August 2025, accounting for 0.40% of India’s transaction volume and 0.41% of the total value, according to the National Payments Corporation of India (NPCI) state-wise data.
NPCI has taken August 2025 as a baseline for the survey to gauge the UPI activity and digital payment penetration across the states and union territories.
At the national level, UPI processed 20.01 billion transactions worth ₹24.85 lakh crore in August, crossing the 20-billion monthly transaction mark for the first time. Transaction volume rose about 3% from 19.47 billion in July, while volume was up 34% from August 2024.
According to the data, Maharashtra led the country with 1.99 billion transactions in August, followed by Karnataka with 1.08 billion and Uttar Pradesh with 1.06 billion. J&K ranked 21st among states and Union Territories, ahead of Himachal Pradesh, Goa, Chandigarh and several northeastern states.
The value of transactions also places J&K ahead of several smaller states and Union Territories. Its ₹10,254 crore in August was higher than the ₹6,739 crore recorded in Himachal Pradesh and ₹4,538 crore in Goa, while Ladakh recorded ₹781 crore.
Nationally, person-to-merchant (P2M) payments accounted for 12.71 billion transactions in August, compared with 7.30 billion person-to-person (P2P) transactions. P2M transactions were worth ₹7.24 lakh crore, while P2P payments accounted for ₹17.62 lakh crore.
The growth in UPI transactions has coincided with the rise in online shopping across Jammu and Kashmir.
According to the Household Consumption Expenditure Survey (HCES) 2023-24, 17.4% of households in J&K reported shopping online. The share was much higher in urban areas, at 32.4%, compared with 11.9% in rural areas.
The nature of online purchases also points to a market that is yet to fully shift towards everyday consumption. Among households that shop online, 80.7% purchased only non-food items, while 2.2% bought only food products and 17.1% purchased both food and non-food items.
J&K’s overall online-shopping penetration also remains below some neighbouring regions. The share of households shopping online was 33.5% in Punjab and 27.3% in Himachal Pradesh, compared with 17.4% in J&K. Chandigarh recorded 68.7%, while Delhi and Goa reported 48.8% and 51.6%, respectively.