UPI expansion: RBI, Nepal Rastra Bank sign deal for cross-border remittances

UPI expansion: RBI, Nepal Rastra Bank sign deal for cross-border remittances

UPI was introduced by the National Payments Corporation of India (NPCI) in 2016 and India has gradualy spead its presence across the world. Over the past two years, many countries have joined their payments apps with UPI for seamless transaction.

Earlier this week, the Centre declared that payments through Unified Payments Interface (UPI) will be accepted in seven countries after its recent launch in Sri Lanka and Mauritius.
Basudha Das
  • Feb 15, 2024,
  • Updated Feb 15, 2024, 5:51 PM IST

The Reserve Bank of India (RBI) and Nepal Rastra Bank (NRB) have signed the Terms of Reference on the integration of the Unified Payments Interface (UPI) of India with the National Payments Interface (NPI) of Nepal for cross-border remittances. The central bank said the integration is aimed at facilitating cross-border remittances between India and Nepal by enabling users of the two systems to make instant, low-cost fund transfers. 

In a statement, the RBI said: "The collaboration between India and Nepal in linking their fast payment systems through the UPI-NPI linkage will further deepen financial connectivity and reinforce the enduring historical, cultural, and economic ties between the two countries. Based on the Terms of Reference exchanged between RBI and NRB, the necessary systems will be put in place for the interlinking of UPI and NPI. The formal launch of the linkage i.e., commencement of operations will be done at a later date." 

Earlier this week, the Centre declared that payments through the Unified Payments Interface (UPI) will be accepted in seven countries after its recent launch in Sri Lanka and Mauritius. These countries are France, UAE, Mauritius, Sri Lanka, Singapore, Bhutan, and Nepal.

PM Narendra Modi attended a virtual event marking the inauguration of UPI and Rupay card services in Sri Lanka and Mauritius. NPCI International Payments Limited (NIPL) and Lyra announced UPI adoption in France, earlier this month.

While launching the UPI services in Sri Lanka and Mauritius, PM Modi said, “The launch of India's UPI services in Sri Lanka and Mauritius underscores the robust linkages between our countries.”

"UPI goes Global! India's Unified Payments Interface goes International with launches in Sri Lanka and Mauritius!  An instant, one-stop payment interface showcases 'Make in India, Make for the World," MyGovIndia, a citizen engagement platform of the Government of India, stated.

Also read: After France, UPI services now in Sri Lanka and Mauritius: Here's how NRIs can make payments sitting abroad

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