UNDERSTANDING THE ADOPTION OF DIGITAL PAYMENT: AN ECONOMIC PERSPECTIVE ON UPI APP USAGE AND SECURITY PERCEPTIONS

Globalization has driven rapid digital transformation, with India witnessing significant economic advantages, such as cost reduction and time efficiency. The Unified Payments Interface (UPI) plays a crucial role in bridging the gap between consumers and businesses. This study examines how UPI is transforming lives, though it also introduces security risks. In 2024, India registered 2,92,800 cybercrime cases, costing the economy Rs. 2054.6 crores, expected to reach 1 trillion annually by 2033. The research surveys 513 respondents on demographic trends, payment preferences, and security concerns. Findings show high adoption in Ahmedabad and Gandhinagar, especially among younger users. Google Pay leads the market, followed by Paytm and PhonePe. Despite trust in UPI, security issues highlight the need for improved infrastructure to enhance user trust and satisfaction.