NPCI is developing an NFC-based offline UPI feature that would allow users to tap smartphones at merchant terminals and complete transactions without internet connectivity. The system would use a preloaded UPI Lite wallet balance. Transactions of up to 2,000 rupees would be supported without requiring a UPI PIN.
The offline capability targets environments where connectivity is limited, such as aircraft cabins and underground metro networks. Unlike the existing UPI Lite X system launched in September 2023, this feature would process payments through certified conventional point-of-sale terminals rather than NFC tags or QR codes.
NPCI is expected to begin certifying compatible terminals later in 2026. The organization has not yet published operating rules clarifying how the proposed 2,000-rupee limit aligns with the current RBI offline digital payments cap of 500 rupees per transaction.