UPI Payments Enabled Directly Within ChatGPT: A Revolutionary Step For Digital Transactions In India

Razorpay, in partnership with the National Payments Corporation of India (NPCI) and OpenAI, has introduced a pilot project that allows UPI payments directly within ChatGPT. This initiative was revealed at the Global Fintech Fest (GFF) 2025. It represents India's first AI-driven conversational payment experience, enabling users to explore products, receive recommendations, and complete transactions without leaving the ChatGPT interface.

Users can instruct ChatGPT to perform tasks like ordering groceries. The AI will not only suggest options but also securely complete the payment using UPI. This is done through a pre-authorized process that ensures safety and convenience.

Innovative Features of the Pilot

The system incorporates new UPI features such as "Reserve Pay" and "UPI Circle." These allow users to set spending limits for their AI agent, removing the need for manual authentication for each transaction. Axis Bank and Airtel Payments Bank are participating as trial banking partners, while Tata's Bigbasket is among the first platforms supporting these payments.

This pilot marks a significant step towards agentic AI, where AI agents can execute real-world actions like making payments with minimal human intervention. Currently, this feature is in private beta/testing with a limited user group. The aim is to test and expand across sectors like e-commerce, groceries, and digital services.

Ensuring Data Privacy

Data privacy remains a priority: AI agents cannot access or store payment data. Users maintain control through mandatory two-factor authentication for each transaction. If successful, UPI payments via ChatGPT could transform how Indians engage with digital commerce by making the search-to-purchase journey seamless within AI chatbots.

NPCI also showcased other innovations at GFF 2025, including AI-based UPI Help for dispute resolution and IoT-based payment options. This pilot is seen as a clear indication of India's rapid adoption of both AI and digital payments, merging two technological strengths into a single user-focused experience.

Agentic Payments System

The "agentic payments" system is powered by secure integration between Razorpay's infrastructure, UPI's new features like Reserve Pay and Circle, and ChatGPT's conversational interface. Users can discover products, compare prices, and complete UPI transactions within ChatGPT without switching to any external app.

Tata's Bigbasket supports this pilot alongside Axis Bank and Airtel Payments Bank as participating partners. The model allows users to give ChatGPT permission to transact up to pre-set spending limits without requiring PIN entry for every purchase while maintaining two-factor authentication for security.

This innovation represents a major leap for agentic AI—intelligent systems completing real-world actions on behalf of users with minimal friction or human intervention. The ChatGPT-UPI pilot is considered a landmark for conversational commerce in India and could soon transition from limited testing to wider rollout.