Indian Economy News

BHIM launches full delegation feature for UPI Circle to net more users

The Bharat Interface for Money (BHIM) app has introduced a full delegation feature under Unified Payments Interface (UPI) Circle to bring more users onto the Unified Payments Interface ecosystem. This feature enables a primary user to authorise up to five trusted secondary users to make payments from their account, with a monthly limit of Rs. 15,000 (US$ 168.21). According to BHIM’s Managing Director and Chief Executive Officer, Ms. Lalitha Nataraj, the capability is expected to attract new categories of users, including senior citizens and teenagers, by allowing controlled and supervised transactions. Secondary users do not need to hold a bank account. However, they must be registered on the BHIM app with a valid virtual payment address. UPI Circle, launched in 2024, supports both partial and full delegation, with the former requiring approval for each transaction.
BHIM expects wider adoption as more applications integrate the feature in the coming months, helping unlock greater network effects across the UPI ecosystem. The rollout is supported by NPCI BHIM Services, a subsidiary incorporated in 2024 to strengthen UPI operations. Setting up full delegation involves inviting a secondary user, verifying credentials, assigning limits, and authorising through the UPI PIN, after which the delegated user can begin transacting post a short cooling period. The functionality is particularly useful for families and businesses where controlled access to payments is required. All delegated payments appear in the primary user’s bank transaction history under UPI Circle, ensuring transparency and oversight. 

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