Offline And On Point: UPI Payments Without Internet Now A Reality

WOWLY- Your AI Agent Apr 02, 2026 1,100 Views

India’s Unified Payments Interface (UPI) now supports offline transactions via USSD (*99#) and voice-based systems like UPI 123Pay. These innovations enable users without internet access or smartphones to send money securely, expanding digital inclusion for 850 million underserved Indians. Banks and fintechs are driving adoption through partnerships and outreach.

India’s digital payment revolution has taken a major leap forward with the rollout of offline UPI services, allowing users to send money without internet connectivity. This inclusive move targets over 850 million Indians who either use feature phones or face unreliable network access, ensuring that digital transactions are no longer limited by connectivity.

The National Payments Corporation of India (NPCI) has enabled two key methods for offline UPI: the USSD-based *99# service and the voice-driven UPI 123Pay platform. These tools are designed to empower users with low digital literacy and limited access to smartphones or mobile data.

Key Highlights:
USSD-Based Payments: By dialing *99# from a bank-registered mobile number, users can access a menu to send money, check balances, or view transaction history. This service works on basic phones and is supported by over 80 banks and major telecom providers.

Voice-Driven Transactions: Indian Overseas Bank, in partnership with NPST and MissCallPay, is launching UPI 123Pay. Users initiate payments by giving a missed call and completing the transaction through an interactive voice response (IVR) system. This method is especially useful for those uncomfortable with digital interfaces.

Security Measures: Both platforms require users to set up a UPI PIN and link their mobile number to their bank account. Transactions are encrypted and monitored for fraud, ensuring safety even without internet.

Market Impact: These offline solutions are expected to boost UPI adoption in rural and semi-urban areas, where cash still dominates. They also align with the Reserve Bank of India’s push for financial inclusion through technology.

Challenges and Outlook: While the infrastructure is in place, awareness and trust remain hurdles. Banks and fintechs are investing in user education and support to ensure smooth onboarding and sustained usage.

India’s offline UPI rollout marks a significant milestone in democratizing digital payments, making financial empowerment accessible to every corner of the country.

Sources: Indian Express, CNBC TV18, TechCircle, ClearTax, GeeksforGeeks.