Nepal is the primary country to adopt India’s UPI system, which played a pivotal role in transforming the digital economy of the neighbouring country. The National Payments Corporation of India (NPCI) said on Thursday, it’ll revolutionalize the digital payment system in Nepal.
UPI is a real-time payment system providing simplicity, safety and security in P2P and P2M transactions in India. In 2021, it enabled 3,900 crore financial transactions valuable USD 940 billion which is reminiscent of approximately 31% of India’s GDP. According to some reports, UPI is estimated within the yr 2022, making it to cross $1 trillion in overall volumes for the present yr.
The international arm of NPCI has joined hands with the gateway payments services and Manam infotech to supply the services in Nepal. GPS is the authorized payment system operator in Nepal and Manam infotech will deploy a unified payments interface therein country.
NPCI international payments were incorporated on April 3, 2020, as a wholly-owned subsidiary of the corporation to internationalise products like RuPay and UPI.
This collaboration will enable the consumers in Nepal to reap the advantages of open payments system driving transfers between bank accounts and merchant payments on a real-time basis. It will also enable the way forward for real-time cross-border P2P remittances between India and Nepal.
This will create a major positive impact in India in terms of the country’s digital payment transformation and it’s expected that UPI in Nepal would play a pivotal role in transforming the digital economy of the country.