PhonePe Brings UPI to Feature Phones Without Internet

June 6, 2025

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In a move that could unlock digital financial access for millions, PhonePe has announced support for UPI payments on feature phones. While the spotlight often shines on urban fintech adoption, this update caters to a vast, often overlooked audience—those still using basic mobile devices.

The announcement marks a significant step in bridging India’s digital divide, one transaction at a time.

Expanding UPI Access for the Next Billion

The new feature enables UPI payments through the PhonePe UPI Lite and 123PAY systems, allowing users of feature phones—often in tier 2, 3, and rural pockets—to send money, pay merchants, and access their bank accounts without needing a smartphone or internet.

This development is especially important considering over 30 crore Indians still use feature phones.

By eliminating the tech barrier, PhonePe is opening up the digital economy to a wider population, many of whom are first-time digital users.

Why This Move Matters Now

The push for UPI access on feature phones aligns with the government’s broader vision of inclusive financial growth and RBI’s digital payment goals. With UPI clocking over 14 billion transactions in May 2024 alone, fintech inclusivity is no longer just about growth—it’s about impact.

For PhonePe, already holding over 46% UPI market share, this shift is not just business expansion—it’s strategic empowerment of the “other India”, one that speaks in local languages, uses keypads, and now, can transact digitally too.

As fintech scales, human-first innovation like this ensures no one is left behind in India’s digital story.

[This content is for informational purposes only and does not constitute legal, financial, or investment advice. This has been constituted based on third-party sources. We do not assume any liability for actions taken based on this information.