Leading fintech platform PhonePe has launched a new feature called UPI Circle, enabling users to manage digital payments for their family and trusted contacts.
The feature aims to boost financial inclusivity and simplify transactions for users with limited access to digital banking.
UPI Circle allows a primary user to generate a UPI ID without linking a bank account, making it possible for individuals without active bank accounts to engage in digital payments.
Once created, the primary user can add secondary users — such as family members or friends — via UPI ID or QR code.
From there, the primary user can authorize payments, track spending, and maintain full control over the Circle.
The feature launch closely follows Google Pay’s introduction of a similar UPI Circle feature in 2024, as both companies continue to dominate the Indian UPI space, collectively holding over 80% market share.
According to NPCI data, PhonePe led the UPI market in March 2025 with 864.7 crore transactions totaling INR 12.57 lakh crore, followed by Google Pay with 659.6 crore transactions.
This feature rollout also comes as PhonePe prepares for its anticipated IPO, having commenced preliminary steps earlier this year.
On the financial front, PhonePe reported a 28% reduction in net loss, narrowing it to INR 1,996 crore in FY24, while operating revenue surged by 74% to INR 5,064 crore.
