UPI, GST cuts fuel record Rs 6 lakh cr Diwali
India’s digital payment system handled 754 million transactions worth 1.02 lakh crore rupees on Oct. 18, the busiest day on record, Finance Minister Nirmala Sitharaman said on Thursday. The three days spanning Dhanteras through Diwali averaged 736.9 million transfers compared with 647.46 million one month earlier. Tax cuts on goods and services boosted shopping activity as buyers purchased more items from lab-grown diamonds to home furnishings across both budget and premium markets.
Festival sales reached 6.05 lakh crore rupees this year, up 25 percent from 4.25 lakh crore rupees in the prior celebration period. Physical stores accounted for 85 percent of purchases, showing renewed strength in traditional retail outlets. Lower tax rates on sweets, clothing, shoes, and household goods improved affordability and accelerated buying patterns, with 72 percent of merchants reporting higher volumes tied directly to the reductions. The minister noted that simplified tax structures freed household income and stimulated demand across the economy.
