NPCI introduced a new offline UPI USSD transaction system. internet one of the major factor to do transactions, but internet connectivity to particular areas make it more difficult for the users. small traders got effected due to internet issues. NPCI launched this programe to increase revenue .

1. National Payment Corporation of
India Launched Offline Transaction
Through USSD

2. Overview
 India 2nd largest mobile users in the world, as per TRAI (Telecom
Regulatory Authority of India) report India reached 1026.37 million active
and inactive users. In present pandemic situation people prefers digital
payment options to avoid any human interaction physically. Pandemic
condition give more value adding in digital payment mode, which were
not successful during demonetization period.
 National Payments Corporation of India launched offline transaction for
UPI (Unified Payments Interface) through USSD (Unstructured
Supplementary Service Data) communication protocols. This system send
message to an application program and worked only in GSM (Global
System for Mobile) mobiles. This program launched in 2012 and applied in
2014 for use.

3. How to use USSD Process
For availing this UPI offline service, user have to download any E-wallet
application like BHIM, PAYTM, PHONE-PAY and registered your mobile
number with UPI platform. When registration is complete and verification
done, then you can enjoy UPI USSD service. If you are already using UPI
then this service already active in your mobile. As of now this service
provided by 51 banks and all GSM service providers , available in 7
language option for assistance.

4. Step 1
• Dial *99# on your phone dialer
and you will be prompted by a
menu screen offering seven
options which are: Send Money,
Request Money, Check Balance,
My Profile, Pending Requests,
Transactions, UPI Pin.
Step 2
• When you choose the Send
Money option, you have various
methods of sending money to
the recipient which are Mobile
Number, Payment address,
Saved beneficiary, IFSC and
Account No.
Step 3
• After selecting the option, fill
the details required and then fill
the amount you have to send to
the recipient (minimum Re 1
and maximum Rs 20,000) and
then enter the UPI PIN and then
hit send. Once it is sent it will
ask you to save the recipient for
future use or exit.

5. Why we need UPI Offline payment mode
According to data from the national payments corporation of India (NPCI).The amount
transacted through UPI was 290,537.30 highest in the July 2020.The volume of transaction was
149.73 crore the most since the interface was introduced.
 The amount transferred via BHIM application was 6395.75 crore
 IMPS record highest transaction amount of 2,25,775.25 crore in july
 Quarter 2019 card and mobile payments increased at 10.57 lakh crore exceed.
 ATM transaction withdrawal amounted at rs 9.50 lakh crore
It means due to corona virus digital payment mode more used than physical form of
withdrawal. That why NPCI decide to launched offline UPI Plateform.

6. Internet Condition in India
According to the February 2020 Speedtest Global Index, published by
Speedtest.net, India was ranked 69th out of 176 countries by average fixed
broadband speed and 128th out of 141 countries by average mobile internet
speed.
 Due to infrastructure limitation internet speed not up to the mark, most
urban and rural areas facing slow internet speed.
 In India internet penetration not up to the mark, which you can see in
below image.
 In India more than 1 billion users of mobile, but 50% of people able to
use internet with satisfactory speed.

7.  In some village network signal is not available after digital revolution.
 Now a days all application service based upon internet, and huge part of
population not avail these service because of internet issue.
 So man transaction has been impacted through this internet, but in
pandemic situation really need these kind of facilities form the government
to maintain payment system.

8. Promotion for UPI USSD
NPCI have to coordinate with banks and E-wallets companies to promote
USSD service among mobile users. As we know everyone have to download
e-wallets application, then user can registered for the UPI USSD service.
 If RBI give permission to these e wallets companies to onboard other
users, who don’t have android mobiles they can onboard through e
wallets platform by existing customer or employee of these companies.
 Banks have to provide UPI USSD registration platform, through their
website or application.
 RBI have to plan more modes to onboard potential UPI USSD customers
for transaction.

9. Conclusion
 UPI user system really changed Indian economy after its deployment. UPI
one the trending payment ecosystem, which changed the approach of
transaction. Google one of the e wallet company proposed in USA
government to include in payment System. Definitely it will help many
people, who don’t have android mobile and internet connection issue in their
respective locality. Definitely fraud incident will be on rise after UPI USSD
another opportunity for frauders.
 But government have to provide more easy way to onboard these people in
payment platform. This platform introduced for those people having issue of
internet like small traders, professional etc. we know it’s a onetime process,
but those people not having android phones and memory issue in their
mobiles. So government have to thing on these problems then definitely UPI
USSD platform become more revenue generated mode for Indian
government.