News Brief
India To Rolls Out UPI Biometric Authentication For Facial And Fingerprint Payments Starting 8 October
UPI, an instant real-time payment system developed by NPCI. (Representative Image)
India launches biometric authentication for Unified Payments Interface transactions starting 8 October, enabling users to verify payments through facial recognition or fingerprints, announced financial services secretary M Nagaraju at the Global Fintech Fest 2025 on Tuesday (7 October).
This move replaces the traditional PIN system with on-device biometric authentication methods, targeting heightened security amid rising digital fraud.
National Payments Corporation of India oversees the implementation, drawing from recent Reserve Bank of India guidelines that permit alternative verification tools.
Officials anticipate widespread adoption among the 300 million UPI users who process over 18 billion transactions monthly.
Sources cited by Reuters confirmed the rollout date as 8 October.
This enhancement integrates AI-powered risk checks, as seen in Razorpay's new Access Control Server developed with Yes Bank, which authenticates deals via biometrics.
RBI mandates a full shift to risk-based models by April 2026, moving beyond OTP dependencies.
Finance Minister Nirmala Sitharaman highlighted the initiative's potential during a Mumbai event, noting it will revolutionize daily transactions for millions.
The update addresses security gaps in current systems, as UPI volumes climbed to record highs in 2025.
RBI Governor Shaktikanta Das emphasized, 'Risk-based authentication ensures safer digital ecosystems without compromising speed. '
Banks like Yes Bank integrate these tools to prevent outages, following NPCI's API guidelines effective 1 August.
Users in major cities such as Mumbai and Delhi will first experience the change, with nationwide expansion planned swiftly.
NPCI aims to overhaul international UPI rules soon, potentially extending biometrics globally. This positions India at the forefront of innovative fintech, handling 18 billion monthly deals securely.
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