Introduction of UPI route has hurt retail applications for IPOs: Experts

Sebi has acknowledged that investors could be facing issues using the UPI payment method

The Unified Payments Interface (UPI) platform has proved to be a successful digital payments tool. Capital market investors are, however, yet to warm up to its use. 

To do away with cheque payments and to speed up the listing process, the Securities and Exchange Board of India (Sebi) made UPI payments — besides the traditional internet banking —mandatory for retail investors applying for initial public offerings (IPOs). 

However, of the total 340,000 applications received from the three IPOs that concluded recently, less than 10 per cent came through the UPI route. Further, a large portion of applications made through UPI