WhatsApp’s financial service play in India gets a boost with NPCI removing all restrictions

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WhatsApp users across India can now start off 2025 with the option to pay via What’s payment feature. The National Payments Corporation of India (NPCI) on Tuesday removed the UPI user onboarding limit for WhatsApp Pay, a third party provider, with immediate effect. This means that instead of limiting the service to only 100 million users in India, the platform can extend the service to its entire user base in India.

Accelerate UPI adoption

Regarding the announcement, a WhatsApp spokesperson said, “We’re committed to make payments on WhatsApp simple, reliable, and secure. Our goal is to add value and convenience to users’ lives through various use-cases like bill payments, ticket booking, and shopping. We aim to accelerate digital payments and UPI adoption, and continue contributing to India’s digital and financial inclusion agenda.”

Previously, the NPCI had permitted WhatsApp Pay to expand its UPI user base in a phased manner. In 2022, it allowed the platform to expand its existing payments user base of 40 million users by an additional 100 million. Today, WhatsApp has around 500 million users in India, making the country one of the platform’s largest user base.

RBI approves PPI

A few days ago, the Reserve Bank of India (RBI) also approved prepaid payment instruments (PPI) users to make and receive UPI payments through third-party mobile applications. The move made it easier for users to link their digital wallets to UPI-enabled apps, encouraging wider use of digital payments.