
The Union Budget 2025 introduced a pivotal initiative aimed at enhancing financial inclusion for street vendors by linking Unified Payments Interface (UPI) with credit cards. This move is expected to revolutionize the way street vendors access credit and digital payment solutions, bridging a critical gap in the informal economy.
Reacting to this development, Mr. Alankar Saxena, Co-founder & CTO of Mudrex, emphasized the broader impact of this initiative. “The Finance Minister’s announcement in the 2025 budget to link UPI with credit cards for street vendors marks a significant step toward financial inclusion. It provides vendors with easier access to digital payments and credit, empowering them economically. This initiative will promote a cashless economy, boost transparency, and drive growth, benefiting both vendors and consumers while supporting the broader push for digital financial services in India,” he said.
The integration of UPI with credit cards aims to streamline transactions for millions of street vendors across the country, offering them easier access to formal financial channels. This is expected to reduce reliance on cash transactions, promote transparency in small-scale trade, and provide vendors with the necessary credit to expand their businesses.
In addition to facilitating digital transactions, this initiative is likely to contribute to the government’s broader agenda of fostering a cashless economy and improving financial literacy among small business owners. By providing vendors with more flexible credit options, the government hopes to drive economic growth from the grassroots level, creating a more inclusive and robust financial ecosystem in India.