e-commerce
Mastercard says UPI is partner, not rival, in India’s payments boom
Firm sees digital payments at an early stage as UPI expands the overall market
MUMBAI: When it comes to India’s payments race, Mastercard isn’t picking sides, it’s backing the whole track. Rather than seeing UPI as a rival, the global payments giant believes the country’s homegrown payments rail has widened the finish line for everyone.
Mastercard has said India’s Unified Payments Interface (UPI) is complementing, rather than competing with, its business, arguing that the country’s flagship digital payments platform has accelerated consumer adoption and expanded opportunities across the broader payments ecosystem.
Speaking on the sidelines of the 3rd India International FinTech Festival 2026, organised by ASSOCHAM, Gautam Aggarwal, Division President for South Asia and Country Corporate Officer, India, Mastercard, said the company views UPI as an enabler that has helped educate consumers and drive the shift towards digital transactions.
“We don’t see it as a challenge. We, in many ways, see it as complementary,” Aggarwal said, noting that national payment systems such as UPI have increased awareness of digital payments while expanding the overall market for payment providers, including global card networks.
His remarks come as UPI continues to dominate India’s retail payments landscape, prompting debate over its long-term relationship with traditional card networks. Mastercard, however, has increasingly aligned itself with emerging payment models such as credit-on-UPI and other digital payment innovations.
Despite India becoming the world’s largest digital payments market by transaction volume, Aggarwal said the sector still has significant headroom for growth. He pointed out that digital payment penetration remains relatively low compared with the country’s overall market potential, leaving ample opportunities across both consumer and merchant segments.
Aggarwal also underlined the growing importance of cybersecurity as digital transactions continue to rise. He said Mastercard has invested in cybersecurity technologies for nearly three decades and continues to increase spending to protect users while ensuring that enhanced security does not come at the cost of convenience.
He also described India’s digital payments infrastructure and regulatory environment as among the most advanced globally, crediting the country’s policy framework with supporting rapid innovation and adoption.
The comments underscore how global payments companies are increasingly adapting to India’s UPI-led transformation rather than positioning themselves in opposition to it. With digital payments still evolving, industry players are betting on growth across cards, UPI, embedded finance, merchant acceptance and credit-based payment products, suggesting that India’s payments story is far from reaching its final chapter.
