Peru to develop UPI-like payments system, first South American nation to do so; Check list of nations who have adopted India's UPI

In a significant development, NPCI International Payments Limited (NIPL), the international division of the National Payments Corporation of India (NPCI), has entered into an agreement with the central bank of Peru to establish a fast instant payments system similar to India's Unified Payments Interface (UPI).

This collaboration marks NIPL's second initiative with a central bank to introduce the UPI stack in global markets. Earlier in May, NIPL had partnered with the Bank of Namibia (BoN) to pioneer an instant payment system akin to UPI in the African nation.

Ritesh Shukla, CEO of NIPL, expressed, “Our collaboration with the BCRP is designed to enhance Peru's financial infrastructure to support economic advancement. With the implementation of this cutting-edge system, Peruvian residents will enjoy unmatched convenience, security, and efficiency in financial transactions.”

The venture aims to facilitate immediate payments between individuals and businesses while extending the utility of digital payments to the unbanked population in Peru.

Julio Velarde, Governor of the Central Reserve Bank of Peru (BCRP), acknowledged the pivotal role of the Reserve Bank of India (RBI) in this partnership.

He emphasised the BCRP’s commitment to enhancing financial inclusion, security, and efficiency, introducing novel use cases in digital payments, and promoting innovation in the Peruvian payment ecosystem.

This initiative aligns with NPCI's strategy to globalise UPI services, following successful forays into various markets.

Check the list of nations that officially support UPI payment:

• Sri Lanka
• Mauritius
• France
• UAE
• Singapore
• Bhutan
• Nepal

Notable milestones in this international expansion include the UPI-PayNow linkage launched by NPCI in January 2024, enabling seamless transfers between India and Singapore.