New Delhi, Aug. 31 -- PhonePe has launched UPI 123Pay for feature phone users, enabling them to make UPI payments without an internet connection and extending the company's digital payments network to a segment of more than 200 million feature phone users in India, according to the company.

PhonePe said it is the first major third-party application provider (TPAP) to bring UPI payments to India's feature phone users through its own offering. The service will initially come pre-installed on devices from Nokia, HMD, Lava International and Itel Mobile, with more handset partnerships expected in the coming months.

PhonePe UPI 123Pay uses an SMS-based architecture designed to work even in areas with limited 2G connectivity. Users can make pe...