soon the united payments interface upi may offer its own ondevice digital wallet that would work without internet also it appears that this will be distinct from thirdparty app wallets such as paytm wallet phonepe wallet etc rbis statement issued today appears to indicate that a digital wallet within upi is proposed further it is likely that this proposed wallet would work without internet because the rbi statement says that the aim is to solve the problem of transaction failure due to net connectivity problemsaccording to the rbi statement low value transactions use significant system capacity and resources at times leading to customer inconvenience due to transaction failures because of issues related to connectivity it is therefore proposed to offer a simpler process flow by enabling small value transactions through an ondevice wallet in upi app which will conserve banks system resources without any change in the transaction experience for the user says the statementupi is the single largest retail payment system in the country in terms of volume of transactions 14 crore transactions per day october 20213 one of the initial objectives of upi was to replace cash for low value transactions transaction data analysis shows that 50 per cent transactions through upi were below rs 200 indicating its success said the rbi statement on developmental and regulatory policies issued on december 08 2021many people use upi as a means to even make small payments this has meant that upi users bank account statements end up getting cluttered if payments have been directly getting debited from their bank accounts this happens due to the high number of small value payments which makes it difficult to analyse your bank account statement with the announcement of an ondevice upi wallet you will no longer have to deal with lengthy bank statements primarily due to the high number of upi transactions this new wallet will enable you to segregate your small value upi transactions from your bank account you will just need to load your wallet with a bigger amount from your bank account and then make small payments through this wallet these small transactions will reflect only in your wallet history and will not be part of your bank account statement