Mumbai: The international arm of the National Payments Corporation of India (NPCI) on Thursday announced to deploy Unified Payments Interface (UPI) in Nepal to bolster interoperable real-time person-to-person (P2P), person to merchant (P2M) and potential cross-border P2P remittances between Nepal and India.
Nepal is the first country outside India to adopt UPI as the payments platform, driving the digitalisation of cash transactions.
The NPCI International Payments Limited (NIPL), the global arm of the NPCI joined hands with the Gateway Payments Service Pvt Ltd, an authorised Payment System Operators in Nepal, and Manam Infotech Private Limited to deploy UPI in the country.
“The partnership will enable consumers within Nepal to transact swiftly using state-of-the-art UPI platform and deliver a seamless user experience. We are confident that this initiative will stand as a testimony to NIPL’s technological capabilities and vision of scaling our unique offerings globally,” said Ritesh Shukla, CEO of NIPL.
It will also enable the way forward for real-time cross-border P2P remittances between Nepal and India.
In 2021, UPI enabled 39 billion financial transactions amounting to commerce worth $940 billion, which is equivalent to approximately 31 per cent of India’s GDP.
“The same UPI service has created a significant positive impact in India in terms of the country’s digital payment transformation. We expect UPI in Nepal would play a pivotal role in transforming the digital economy of the country and dreams of building a less-cash society,” said Rajesh Prasad Manandhar, CEO of GPS.
Mobile penetration of over 135 per cent, with 65 per cent of the population using smartphones, provides a bedrock for seamless replication of the digital revolution in India to be replicated in Nepal.
Over the next few months, all three companies will work closely together to deploy UPI in Nepal. along with all the functionalities and features presently available in India.
“We believe this partnership will eliminate all the barriers of payment transformation within Nepal and across the border thereby transforming the regional economy,” said Naga Babu Ramineni, Director of Manam.