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RBI enhances UPI Lite per-transaction limit to Rs 2,000 to boost digital payments.

Banking & Economy | Dated: 26 Nov 2025

The Reserve Bank of India (RBI) has announced an enhancement in the transaction limit for "UPI Lite" from Rs 500 to Rs 2,000 per transaction. However, the overall wallet limit remains at Rs 2,000. This move is aimed at encouraging users to switch to the on-device wallet for small-value transactions, reducing the load on banking servers.

🎯 Key Highlights:

  • UPI Lite is an on-device wallet feature that allows users to make real-time small-value payments without using a UPI PIN, making transactions faster and more convenient.
  • The decision was taken based on feedback from NPCI and various banks, which indicated that a higher limit would cover a broader range of daily utility payments and shopping needs.
  • Additionally, RBI has introduced a new "Auto-Top-up" feature for UPI Lite, allowing the wallet to be refilled automatically when the balance falls below a set threshold.

💡 Other Important Facts:

  • New Transaction Limit: Rs 2,000 (previously Rs 500).
  • Wallet Limit: Rs 2,000.
  • Key Benefit: PIN-less transactions for faster payments.

📚 Test Your Knowledge:

What is the new per-transaction limit for UPI Lite announced by RBI?

Correct Answer: Rs 2,000

🚀 Quick Recap:

About RBI

  • Governor – Shaktikanta Das
  • HQ – Mumbai