Table of Contents
NPCI exploring collaborations to make UPI a global payment system
The National Payments Corporation of India is in talks with several countries, including the United Arab Emirates , Mauritius, and Indonesia, to expand the reach of India’s Unified Payments Interface beyond the country’s borders.
Unified Payment Interface has gained immense popularity in India as a fast, secure, and convenient way to make digital payments.
The Unified Payment Interface, a real-time payment system developed by the NPCI, enables users to instantly transfer funds from one bank account to another, without having to share bank details. It has revolutionised the digital payments space in India, making it easy and accessible for millions of users.
This system enables instant and seamless transactions through mobile phones, and it has also been integrated into popular digital payment apps like Google Pay, PhonePe, and Paytm.
UPI’s Expansion Beyond Indian Borders
The NPCI has been actively working towards expanding the reach of this system beyond India. The payment system was recently integrated with Singapore’s domestic payment system, PayNow, allowing Indian users to transfer funds directly to Singaporean bank accounts. This integration was aimed at promoting the adoption of the payment interface as a global payment system and to boost its usage among non-resident Indians and foreign tourists.
According to reports, the NPCI is now in talks with several other countries to expand the Unified payment interface’s reach. The integration of the UPI with the payment systems of these countries could provide a similar experience to users abroad, as they can transfer funds easily and securely without having to go through the hassle of traditional banking methods.
The process of integrating the UPI with the payment systems of other countries may take some time and require regulatory approvals. However, the NPCI has been working towards this goal and is looking to make the UPI a global payment system.
In the case of the UPI’s integration with Singapore’s PayNow system, the NPCI and the Monetary Authority of Singapore had signed a memorandum of understanding to collaborate on the development of the payment system.
The MoU aimed to establish a framework for the linkage between the UPI and the PayNow systems and to encourage the use of digital payments.
The UPI’s expansion into other countries could have several benefits. Non-resident Indians can use the payment interface to transfer funds to India, while foreign tourists can use it to make payments during their visits. It is a fast, secure, and convenient way to make digital payments, and its expansion into other countries could make it a preferred payment method for users abroad.
Its expansion into other countries could be a significant step towards making it a global payment system.
The NPCI’s efforts towards this goal are commendable, and the integration of the UPI with other countries’ payment systems could provide a similar experience to users abroad as it has in India. However, the process of integration may take time and require regulatory approvals.
Nevertheless, the UPI’s expansion could have several benefits, including promoting the adoption of digital payments and making payments more accessible and convenient for users worldwide.
Also Read- India’s UPI ties up with Singapore’s PayNow at 11:00 am on Tuesday.