India, Russia explore accepting RuPay and Mir cards for easy payments

India and Russia have agreed to explore the possibility of accepting each other's payment cards, RuPay (India) and Mir (Russia), for hassle-free payments between the two countries. During the latest meeting of the Internal Governmental Commission on Trade, Economic, Scientific, Technological, and Cultural Cooperation (IRIGC-TEC), which was jointly chaired by External Affairs Minister of India S Jaishankar and Russia's Deputy Prime Minister Denis Manturov, the decision was made.

Mutual acceptance of RuPay and Mir cards will facilitate transactions in Indian rupees and Russian rubles, making it easier for citizens of both countries to carry out cross-border payments. In addition, the meeting also explored the possibility of interaction between India's Unified Payments Interface (UPI) and Russia's Faster Payments System (FPS).

Both countries also agreed to explore the adoption of the Russian financial messaging system, the Services Bureau of Financial Messaging System of the Bank of Russia, for cross-border payments. Currently, overseas payments from India and Russia are made through the SWIFT network, and exploring alternative payment options is necessary to minimize the impact of sanctions imposed on Russia by the West.

The meeting's participants also discussed the recent launch of the cross-border connectivity between UPI and Singapore's PayNow. This linkage enables people in both countries to undertake faster and cost-efficient digital transfers, benefiting the Indian diaspora in Singapore, including migrant workers and students.

Both inward and outward remittances will be facilitated by the State Bank of India, Indian Overseas Bank, Indian Bank, and ICICI Bank, whereas Axis Bank and DBS India will only facilitate inward remittances. UPI has emerged as the most popular and preferred payment mode for person-to-person and person-to-merchant transactions in India, accounting for 75% of total digital payments. Since its launch in 2016, the volume and value of UPI transactions have increased manifold.

Since its inception in 2008, the National Payments Corporation of India (NPCI) has established a resilient payment and settlement infrastructure in India, enabling transactions through a range of retail payment products like RuPay card, Immediate Payment Service (IMPS), UPI, Bharat Interface for Money (BHIM), BHIM Aadhaar, National Electronic Toll Collection (NETC Fastag), and Bharat BillPay.

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