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PM Modi Highlights UPI Expansion at BRICS as India’s Digital Payments Go Global

July 7, 2025, 1:02 pm

Prime Minister Narendra Modi held talks with Cuban President Miguel Diaz-Canel Bermudez on Sunday on the sidelines of the 17th BRICS Summit in Rio de Janeiro, Brazil, focusing on boosting cooperation in pharmaceuticals, biotechnology, traditional medicine, and digital infrastructure, especially Unified Payment Interface (UPI).

According to MEA spokesperson Randhir Jaiswal, “PM Narendra Modi met with President Miguel Diaz-Canel Bermudez of Cuba on the sidelines of the 17th BRICS Summit in Rio de Janeiro, Brazil. Both leaders exchanged views on various facets of India-Cuba relationship including in the areas of economic cooperation, biotechnology, pharma, Ayurveda and traditional medicine, Digital Public Infrastructure and UPI, disaster management, and capacity building.”

UPI Makes Waves in the Caribbean and Beyond

The discussion on UPI comes just days after Trinidad and Tobago became the first Caribbean nation to adopt India’s flagship digital payment platform during PM Modi’s historic visit — the first bilateral trip by an Indian Prime Minister to the country in 26 years.

In another milestone during his recent Ghana visit, Modi addressed the nation’s Parliament and emphasised growing trade ties while offering to share India’s fintech experience.

“In the field of FinTech, India is ready to share its experience of UPI digital payments with Ghana,” he stated.

UPI’s Global Expansion Strategy Gains Momentum

India’s digital payment system, led by UPI, has emerged as a model for financial inclusion and digital transformation worldwide. The platform currently processes over 100 billion transactions annually. In 2024, France became the first European country to adopt UPI on a wide scale, with more countries joining since.

The National Payments Corporation of India (NPCI) has actively facilitated the platform’s global use. It introduced UPI Global Acceptance, which enables QR code-based payments at select international merchants directly from Indian bank accounts via UPI-powered apps.

‘Digital India’ Marks a Decade of Impact

Highlighting the success of India’s digital revolution, PM Modi remarked, “From how we govern, to how we learn, transact, and build, Digital India is everywhere,”during the 10-year celebration of the Digital India initiative on July 1.

Currently, UPI is operational in seven countries: the UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, and Mauritius.

“India Stack, which is our digital backbone, has enabled platforms like UPI, which now handles 100+ billion transactions a year. Around half of all real time digital transactions happen in India,” PM Modi said.

The meeting with the Cuban President adds to the growing momentum of UPI’s global acceptance and India’s vision of digital diplomacy.

Uganda Taps Indian Tech—Is UPI the Next Global Game-Changer?

April 12, 2025, 6:23 pm

Uganda is making a big leap towards digitalization by planning to roll out an Aadhaar-like identification system and looking at India’s Unified Payments Interface (UPI) to transform digital payments. The decision is part of a larger trend among African countries to embrace tried-and-tested Indian technology to improve governance and financial inclusion.

The East African state is implementing the Modular Open-Source Identity Platform (MOSIP), a technology created by the International Institute of Information Technology, Bengaluru (IIIT-B). Uganda National Identification and Registration Authority (NIRA) CEO Rosemary Kisembo confirmed the development and noted the platform’s flexibility.

“We have had an immense year of interactions. We’ve had IIIT B (International Institute of Information Technology, Bengaluru) on speed dial, working towards understanding the platform. But more importantly, customizing it to the law of the land. And it has been a very enriching, very enriching experience. It has been a very enriching experience, one that we look forward to deepening across sectors and communities,” Kisembo said.

The system will be rolled out in five modules, addressing new registrations, renewals, correction of errors, replacement of IDs, and issuance of IDs for the first time. The pilot is already underway, and in the next few months, Uganda will connect its ID system with essential records like birth and death certificates.

Kisembo further added, “The immediate benefit of UPI will be a reduction in the cost of transactions. It creates a free wallet for every citizen, enabling seamless money movement.”

Uganda Also Plans to Explore UPI for Affordable Transactions

In addition to the digital ID system, Uganda is also exploring India’s UPI (Unified Payments Interface) to develop a low-cost, seamless digital payments infrastructure. This is a big shift in Uganda’s financial technology plans.

The UPI system presents an immediate benefit of decreasing transaction costs and financial access, according to Kisembo. “The direct advantage of UPI will be a decrease in the cost of transactions. It provides a free wallet for each citizen and facilitates ease of money movement,” she said.

India’s UPI has already received worldwide acclaim for its zero-cost, real-time digital payment system. Now, Uganda’s interest further underscores the increasing cross-border uptake of Indian digital systems.

As it enters its digital era, Uganda’s partnership with India not only marks a significant milestone but also presents a strong model for South-South cooperation in technology and governance.

UPI Services Back for Most Users After Nationwide Disruption

April 12, 2025, 4:25 pm

Unified Payments Interface (UPI), India’s most widely used digital payment system, experienced a massive disruption on Saturday, causing payment failures for millions of users across the country. The outage affected essential transactions like shopping, bill payments, and business transfers.

Users Report Gradual Recovery

By Saturday evening, several users in Delhi-NCR said UPI was working again on their smartphones. However, the National Payments Corporation of India (NPCI), which manages UPI, had not officially confirmed full restoration of services.

Technical Problems Confirmed

In a post on X (formerly Twitter), the NPCI acknowledged the issue. “NPCI is currently facing intermittent technical issues, leading to partial UPI transaction declines,” it wrote. “We are working to resolve the issue and will keep you updated. We regret the inconvenience caused,” the statement added.

Thousands Faced Payment Failures

The outage tracking website Down Detector recorded over 2,300 complaints by 1 PM. Around 81% of the users reported issues with payments, while 17% faced fund transfer problems.

Banking Apps Also Affected

The impact wasn’t limited to third-party apps. Major banks like SBI, ICICI, and HDFC also faced disruptions, hinting at a broader issue within the UPI infrastructure.

Many frustrated users shared their experiences online. “UPI is down again. Good that I always carry cash. Cash is always King,” one person post ed on X. “This is becoming way too frequent nowadays. First UPI goes down, then banks declare their own ‘downtime’ for UPI transactions,” another wrote.

UPI Sees Record Growth in March

Despite the temporary setback, UPI continues to show strong growth. According to the NPCI’s latest data, UPI recorded 18.3 billion transactions in March, up from 16.11 billion in February, marking a 13.59% month-on-month growth.

The total transaction value in March was a record ₹24.77 lakh crore, rising 12.79% from ₹21.96 lakh crore in February.

On average, UPI handled over 590 million transactions daily, with a daily transaction value of ₹79,910 crore.

UPI’s Annual Growth Shows Strong Momentum

Compared to March last year, the value of UPI transactions rose by 25%, and the number of transactions increased by 36%. This shows the continued rise of digital payments in India, even though occasional technical issues remain a challenge.

UPI Faces Third Outage in 30 Days, Affecting Users Across India

April 12, 2025, 1:44 pm

A major technical issue had halted Unified Payments Interface (UPI) services all over India on Saturday morning, which was the third major disruption in the past 30 days. The issue impacted a number of financial institutions such as HDFC Bank, State Bank of India, Bank of Baroda, and Kotak Mahindra Bank.

As per DownDetector, a web application used for tracking outages, there were 2,147 complaints logged by 12:56 pm, and nearly 80% of customers found themselves struggling when making payments. In the morning, as much as 1,168 complaints had been recorded, illustrating prevalent anger.

This disruption comes after a March 26 UPI outage that impacted digital transactions as well. Then, NPCI had accepted intermittent technical glitches that led to partial declines in the system. “NPCI had experienced intermittent technical problems due to which UPI had partial decline. The same has been rectified now and the system has stabilized. Sorry for the inconvenience,” the payment regulator said on X.

Meanwhile, on Tuesday this week, the National Payments Corporation of India (NPCI) revealed a policy revision for international UPI transactions. From April 8 onwards, QR code payments for non-India transactions are limited in an effort to enhance payer identification. However, Indian QR payments are not affected.

UPI Will Stop Working on Inactive or Reassigned Numbers from April 1

March 21, 2025, 1:53 pm

Starting April 1, UPI services will no longer work on mobile numbers that are inactive or reassigned. The National Payments Corporation of India (NPCI) has instructed banks and payment service providers (PSPs) to delink such numbers. This move aims to prevent fraud and unauthorized transactions. Users must ensure their registered mobile number remains active to continue using UPI without any disruptions.

Why Is This Change Necessary?

Inactive mobile numbers linked to UPI accounts pose a significant security risk. Many users change their numbers but forget to update them in their bank records. When telecom companies reassign these numbers, fraudsters could misuse them to gain unauthorized access to financial transactions. To prevent such risks, banks and payment apps like Google Pay, PhonePe, and Paytm will remove inactive numbers from the UPI system as per NPCI’s directive.

How Will Banks Implement This Rule?

Banks and PSPs will regularly review and remove mobile numbers that are inactive, reassigned, or deactivated. Before suspending UPI services, they will notify affected users and provide a window to update their details. If a number remains inactive despite multiple warnings, banks will delink it from the UPI system to prevent potential fraud. Users can restore their UPI access by updating their mobile number before the deadline.

Who Will Be Affected?

Several categories of users may face issues due to this rule. Those who have changed their mobile number but have not updated it with their bank will be affected. Users whose numbers have not been used for calls, SMS, or banking alerts for a long time may also lose UPI access. Additionally, those who surrendered their number without updating their bank records or whose old number was reassigned to someone else must take immediate action.

How to Keep Your UPI Active

To avoid any disruption, users must ensure their registered mobile number is active. A simple way to check is by making a call or sending a message to confirm its functionality. Users should also verify that they receive SMS alerts and OTPs from their bank. If their number has changed, they should update their UPI-linked mobile number through net banking, UPI apps, ATMs, or by visiting their bank branch.

Why Your Mobile Number Matters for UPI

Your mobile number plays a crucial role in UPI transactions. Banks use it for OTP verification, which ensures secure payments. If a number becomes inactive and gets reassigned, transactions may fail, or worse, funds could be transferred to the wrong account. To prevent such issues, users should update their mobile number with their bank before April 1, 2025, and ensure continued access to UPI services.

A Bouquet And A Swipe: Jamaican PM Embraces UPI In Delhi’s Streets, Video Goes Viral

October 3, 2024, 10:28 pm

During his visit to Delhi, Jamaican Prime Minister Dr. Andrew Holness made headlines by using India’s Unified Payments Interface (UPI) to pay for a bouquet from a local vendor. This moment showcases the widespread adoption and ease of digital payments in India.

Promoting UPI on a Global Stage

UPI, a real-time payment system developed by India, has revolutionized how payments are made, and Dr. Holness’s use of it highlights its potential to gain global traction. As a visiting dignitary, his transaction was a powerful demonstration of India’s technological advancement in financial services.

Simple and Seamless Payment Experience

Dr. Holness effortlessly used the UPI app to pay for the bouquet, showing just how simple and user-friendly the system is, even for first-time users. The transaction underscored the convenience UPI offers for cashless payments in everyday life, from small vendors to large businesses.

Boosting UPI’s Global Impact

India’s UPI system has been gaining international attention for its scalability and success. By integrating foreign leaders into its usage, India is further promoting UPI as a global solution for digital transactions.

Dr. Holness’s transaction sends a message to the world—India’s digital payments infrastructure is not only effective but also easy for anyone to adopt.

Gurgaon: Bag With ‘Diamond Pendant’ Returned By Honest Auto Driver

September 9, 2024, 1:47 pm

In a touching story that highlights the best of human nature, a LinkedIn post by Arnav Deshmukh has gone viral, showcasing the remarkable honesty of a Gurgaon auto-rickshaw driver. The story, shared widely on the platform, has sparked heartfelt reactions from users, celebrating a simple act of kindness.

A Bag Left Behind

The incident unfolded when a friend of Deshmukh, who was in the process of moving, took an auto-rickshaw around 1 pm. After arriving at her destination, she paid the driver via UPI and hurriedly left, only to later realize she had forgotten her bag in the vehicle. The bag contained crucial items: her Aadhaar card, PAN card, credit and debit cards, and a sentimental gold chain with a diamond pendant—a gift from her late grandmother and mother.

Desperation Sets In

Panic ensued as Deshmukh and his friend tried to contact the auto driver through UPI messaging but received no response. As their hopes dwindled, they considered the bag might be lost forever. By 4 pm, they sought help from the Gurgaon Police, who acted swiftly, accompanying them in a police vehicle to review surveillance footage for any leads on the auto-rickshaw’s location.

A Heartwarming Return

Just as despair was setting in, a call around 5:30 pm brought much-needed relief. The property manager informed them that the auto driver had returned the bag. The driver, identified as Manirul Jaman, had found the bag and returned it with all its contents intact. The return of the bag, and its precious contents, left Deshmukh’s friend and her family profoundly grateful, particularly her mother, who was moved to tears.

Acknowledgements and Reactions

Deshmukh’s post also lauded the prompt action of the police, especially ASI Rambir Singh, for their support in resolving the situation. The story has resonated with many, highlighting the enduring values of honesty and integrity in urban settings.

Comments on the post reflect a mix of gratitude and personal experiences. Shanu Sharma noted, “Great act of humanity… lucky you. But I had a very bad experience where my mother lost her phone in an auto and we never got it back.” Gaurav Sharma shared, “Impressive one, Arnav! I almost had a similar situation yesterday while I lost something in a cab. I couldn’t talk to him directly, but because I paid through super.money, I could see the UPI ID and used it to reconnect with him.”

Software engineer Gourab Dipta Ghosh added, “These kinds of posts need more attention. We spread negative news for awareness, true, but focusing on these positives will start a virtuous cycle. Kudos to both of them.”

The incident serves as a reminder of the kindness that still exists in the world and the importance of celebrating positive stories amidst the daily rush of news.

RBI Introduces UPI Cash Deposits At ATMs, No Debit Card Needed

August 31, 2024, 3:14 pm

The Reserve Bank of India (RBI) has introduced a new feature allowing cash deposits at ATMs via Unified Payments Interface (UPI), eliminating the need for physical debit cards. This UPI Interoperable Cash Deposit (UPI-ICD) service was launched by Deputy Governor T. Rabi Sankar at the Global Fintech Fest 2024 in Mumbai.

According to the National Payments Corporation of India (NPCI), customers can now deposit cash into their own or any other bank account using UPI at ATMs operated by banks and white-label ATM operators. This feature utilizes customers’ mobile numbers linked to UPI, virtual payment addresses (VPA), and account IFSCs to make cash deposits more seamless and accessible.

To use this service, customers select the cash deposit option at compatible ATMs, enter their UPI-linked mobile number or virtual payment address, and deposit cash into the machine. The ATM processes the deposit and credits the specified account.

The UPI-ICD feature is available only at ATMs with cash recycler technology capable of handling both deposits and withdrawals. The service will be rolled out gradually across ATM networks as banks upgrade their machines to support this functionality.

This new feature builds on the cardless cash withdrawal capability via UPI introduced in 2023, aiming to enhance banking convenience by streamlining the cash deposit process and reducing reliance on physical cards.

India-Malaysia Signs New Agreements On Fintech, Education, And Cultural Exchange

August 20, 2024, 5:53 pm

India and Malaysia Deepen Bilateral Relations

Prime Minister Narendra Modi and his Malaysian counterpart, Dato’ Seri Anwar bin Ibrahim, have taken significant steps to enhance bilateral relations between India and Malaysia. During a formal event at Hyderabad House in Delhi, the leaders exchanged several Memorandums of Understanding (MoUs) and agreements, underscoring their commitment to expanding cooperation.

Focus on Emerging Technologies

In a joint statement following the exchange, Prime Minister Modi emphasized the untapped potential in the India-Malaysia relationship, particularly in emerging technologies. He highlighted the importance of collaboration in areas such as fintech, semiconductors, artificial intelligence (AI), and quantum computing. A key announcement was the plan to integrate India’s Unified Payments Interface (UPI) with Malaysia’s PayNet, which could revolutionize digital payments between the two nations. “We have more potential in our relationship. We must increase our cooperation in the field of new technology areas,” Modi stated.

India’s Impact on Malaysia’s Digital Payment Market

Malaysia’s digital payment market has become a hub for fintech innovation, attracting numerous Indian startups. The favorable regulatory environment and growing demand for digital financial services in Malaysia present a promising landscape for Indian companies. Notable Indian fintech firms like Pine Labs and Razorpay have made significant inroads, particularly in the digital payments sector. Razorpay’s acquisition of Malaysian recurring payment solutions provider Curlec, now rebranded as ‘Curlec by Razorpay,’ marked a pivotal moment in its expansion. Curlec’s involvement in DuitNow, Malaysia’s real-time payment system, further demonstrates its commitment to promoting cashless transactions.

Strengthening Educational and Cultural Ties

Beyond fintech, the leaders discussed expanding educational and cultural ties between the two nations. Prime Minister Modi announced a focus on scholarships for Malaysian students and specialized training programs for government officials. Under the Indian Technical and Economic Cooperation (ITEC) program, 100 seats will be allocated for Malaysians to pursue advanced courses in fields such as cybersecurity and AI. Additionally, an Ayurveda Chair will be established at Malaysia’s University Tunku Abdul Rahman, and a Thiruvalluvar Chair will be set up at another Malaysian university, further strengthening cultural and educational links.

A Growing Partnership

Prime Minister Modi expressed his gratitude to Prime Minister Anwar and his team for their cooperation in these initiatives, reflecting the growing partnership between India and Malaysia. The agreements and collaborations highlight a shared commitment to fostering innovation and strengthening ties in various sectors, including technology, education, and culture.

India-Maldives Sign MoU Introducing UPI, Strengthen Bilateral Ties

August 10, 2024, 1:11 pm

India and Maldives have signed a Memorandum of Understanding (MoU) to introduce the Unified Payments Interface (UPI) in the Maldives. External Affairs Minister S Jaishankar, during his official visit to Maldives, announced that this move will positively impact the Maldives’ tourism sector.

UPI Introduction and Expected Benefits

The agreement, signed on Friday, marks a significant step in enhancing digital payment systems in the Maldives. Developed by the National Payments Corporation of India (NPCI), UPI is an instant real-time payment system that facilitates mobile-based inter-bank transactions. Jaishankar highlighted that UPI has revolutionized digital transactions in India, where 40% of the world’s real-time payments occur. He anticipates that the implementation of UPI will have a “very positive” effect on the Maldivian tourism industry, which is a crucial economic sector for the island nation.

Strengthening Bilateral Relations

Jaishankar’s visit is also aimed at resetting India-Maldives relations following a period of tension. The visit is the first high-level trip from India since President Mohamed Muizzu assumed office last year. During the visit, Jaishankar and Maldivian Foreign Minister Moosa Zameer discussed enhancing economic cooperation, including the renewal of a Memorandum of Understanding for civil service training and the inauguration of several high-impact projects in the Maldives.

Future Prospects and Ongoing Cooperation

The Maldivian government has expressed interest in negotiating a Free Trade Agreement with India, which Zameer believes will facilitate trade and investment between the two nations. Both countries have committed to further strengthening their partnership through joint exercises, expanded training opportunities, and collaboration on regional security issues. Jaishankar reiterated India’s commitment to supporting the Maldives through economic assistance and critical supply provisions, emphasizing a shared commitment to mutual development and stability.

UPI, IMPS Payment Services Disrupted For These Banks Due To Ransomware Attack

August 1, 2024, 9:33 am

The National Payments Corporation of India (NPCI) has announced that UPI, IPMS, and other payment systems of certain banks will be temporarily unavailable to customers due to a ransomware attack on C-Edge Technologies, a service provider to several banks.

In a statement, NPCI explained, “To prevent a larger impact on the payment ecosystem, NPCI has temporarily isolated C-Edge Technologies from accessing the retail payment systems operated by NPCI. Customers of banks serviced by C-Edge will not be able to access payment systems during the period of isolation.”

Affected Banks

C-Edge Technologies primarily provides services to cooperative and regional rural banks. NPCI noted, “It has been brought to our notice that C-Edge Technologies, a technology service provider who caters mostly to cooperative and regional rural banks, has been possibly impacted by a ransomware attack affecting a few of their systems.”

Restoration Efforts

Restoration efforts are underway with NPCI working closely with C-Edge Technologies. “Restoration work is underway on a war footing along with C-Edge Technologies, and a necessary security review is in process. Connectivity to the affected banks shall be restored at the earliest,” NPCI assured.

Understanding Ransomware Attacks

A ransomware attack involves malware that encrypts a victim’s data or locks them out of their systems, with attackers demanding a ransom payment to restore access. Such attacks can significantly disrupt services, as seen in the current situation affecting banking services.

Keeping Customers Informed

As the restoration efforts continue, customers of the affected banks are advised to remain patient and stay informed through official updates from their respective banks and NPCI.

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HDFC Bank To Modify UPI Alerts From June 25: What You Need To Know

June 21, 2024, 2:29 am

HDFC Bank has announced a change in its notification system for low-value UPI transactions. Effective June 25, HDFC Bank customers will no longer receive text alerts for low-value UPI transactions. Instead, SMS alerts will be sent for UPI transactions over Rs 100 when sending money and for transactions over Rs 500 when receiving money. However, email alerts will still be sent for all transactions without any change.

In a communication sent to its customers via email and SMS, HDFC Bank stated: “Starting from 25th June, 2024: Email Alerts: Continue to receive email alerts for all UPI transactions. SMS Notifications: Now only for transactions above Rs 100 (money sent/paid) and Rs 500 (money received).”

The reason HDFC Bank is making this change

This adjustment aligns with banking regulations that mandate text alerts for transactions exceeding Rs 5,000. Despite this, many banks still send alerts for smaller transactions. HDFC Bank explained that customer feedback showed alerts for low-value transactions were considered ‘not useful,’ primarily due to the redundancy of notifications from UPI payment apps.

Banking experts pointed out that bulk text messages cost between Rs 0.01-0.03 each. Given that UPI transactions average about 40 crores per day, banks collectively spend several crores daily on these text message alerts.

UPI Lite: What is it and why banks are pushing it

Banks are encouraging the adoption of UPI Lite for transactions up to Rs 500. UPI Lite enables quick payments without requiring second-factor authentication by setting aside a small amount of money within the app.

In reducing the number of alerts for low-value transactions, HDFC Bank and other banks aim to simplify notifications for customers and reduce costs. This change is anticipated to improve user experience and promote the use of UPI Lite for smaller transactions.

Users have the option to register their email with HDFC Bank to receive notifications for all UPI transactions.

How you can register for email to receive all the UPI transaction alerts

Step 1: Visit the website https://instaservices.hdfcbank.com/?journey=107&source_type=103.
Step 2: Enter your registered mobile number.
Step 3: Choose to verify using your Date of Birth (DoB), PAN card number, or Customer ID, then click on “Get OTP.”

UPI Experiences Disruption Due To These Reasons, Reveals RBI

June 10, 2024, 12:09 pm

RBI Governor Shaktikanta Das has recently revealed the reason behind frequent disruption in UPI on Monday.

Speaking during press conference, the RBI governor asserted, that it is Bank’s obsolete technology, which are causing the issues, rather than NPCI’s infrastructure itself.

Furthermore, the problems stemming from the bank, including network link issues, are being addressed.

Meanwhile, as digital payments continue to rise, its cons are being witnessed, as on June 4, many investors were unable to execute transactions during a market downturn, leading to lost financial opportunities.

In order to deal with these issues, RBI announced, that regulated entities must notify about any system failures, whether planned or unexpected.

As per the India’s central bank, it is trying to minimize these incidents, which have been reduced below 1%.

To further enhance the banking experience, RBI has launched UPI lite, which currently handles 10 million monthly transactions.

NPCI Likely To Extend UPI Deadline, Offering Boost To Google, PhonePe

May 10, 2024, 4:05 am

The National Payments Corporation of India (NPCI) plans to postpone the deadline for enforcing a 30% market share limit on firms handling payments via the Unified Payment Interface (UPI) by one to two years, according to sources familiar with the matter who told reuters. This move is anticipated to favor Google Pay and PhonePe, backed by Walmart, as they currently hold significant dominance in the UPI payments sector.

India’s leading digital payment system, UPI, manages more than 11 billion transactions monthly. PhonePe commands a market share of 48.3%, closely trailed by Google Pay at 37.4%. Conversely, regulatory hurdles have caused Paytm’s share to decline to 8%. Initially slated for implementation in January 2021, NPCI postponed the market share cap deadline to January 1, 2025. Sources suggest that a final decision regarding the extension will be announced closer to the revised deadline.

Difficulties Encountered in Implementing Incentives for UPI Service Providers

The proposed extension of the deadline is likely to draw criticism from other stakeholders in the ecosystem who have been urging NPCI to adhere to its commitments. Some companies have put forward suggestions, including incentives favoring smaller players. NPCI and the Reserve Bank of India (RBI) encounter obstacles in introducing additional incentives for UPI service providers. Unlike credit card issuers such as Mastercard and Visa, which impose fees on merchants for consumer transactions, UPI operates essentially cost-free for merchants.

NPCI had anticipated that Meta’s WhatsApp, which also facilitates UPI payments, would help disrupt the duopoly. However, as of April this year, the app had only captured a 0.2% market share.

Sources indicate that the RBI convened a meeting on Wednesday with key stakeholders in the UPI ecosystem to deliberate on strategies for scaling UPI infrastructure, diversifying the product portfolio, addressing challenges, and exploring solutions. An NPCI spokesperson declined to comment on queries regarding market share, and sources suggest that the regulator may revise its plan by the year’s end.

NPCI International to support Namibia develop instant payment system like UPI

May 2, 2024, 12:57 pm

NPCI International Payments (NIPL), the global subsidiary of the National Payments Corporation of India (NPCI), has inked a deal with the Bank of Namibia (BoN) to aid in establishing an instant payment system akin to India’s Unified Payment Interface (UPI) for the Southwest African nation.

In a statement released by NPCI on Thursday, this collaboration signifies a strategic advancement towards fortifying Namibia’s financial infrastructure and promoting inclusive economic development. Through the utilization of technology and insights derived from India’s UPI, the partnership endeavors to assist Namibia in modernizing its financial landscape. This encompasses enhancing accessibility, affordability, connectivity with both domestic and international payment networks, and interoperability.

Under this alliance, the Bank of Namibia will access cutting-edge technology and expertise from NIPL to facilitate the establishment of a comparable platform in Namibia for the digital well-being of its populace. Johannes !Gawaxab, Governor of the Bank of Namibia, articulated their aim to bolster accessibility and affordability for underserved segments, achieve full interoperability of payment instruments by 2025, modernize the financial sector, and ensure a secure and efficient National Payment System. He elaborated that this system aims to interconnect individuals, businesses, and government entities across Namibia, encompassing the disbursement of social grants, thereby streamlining economic interactions and fostering digital entrepreneurship.

Commenting on the partnership, Ritesh Shukla, CEO of NPCI International, expressed enthusiasm, stating, “We are thrilled about this collaboration, which will empower Namibian citizens to engage in instant transactions leveraging technology and insights from India’s UPI. By facilitating this technology, the country will attain sovereignty in the digital payments landscape and reap the benefits of enhanced payment interoperability and improved financial access for underserved populations.”

Once operational, the platform will facilitate digital transactions in Namibia, driving financial inclusion and diminishing reliance on cash among underserved communities.

As NPCI’s international arm, NIPL is dedicated to deploying NPCI’s indigenous system outside of India.

Digital payments in India are witnessing a surge, with citizens increasingly embracing emerging modes of online transactions. UPI, India’s mobile-based rapid payment system, enables customers to make instantaneous payments round the clock using a Virtual Payment Address (VPA) generated by the customer. UPI has gained immense popularity for retail digital payments in India, with its adoption growing rapidly.

A focal point of the Indian government has been to ensure that the benefits of UPI extend beyond India; other nations also stand to benefit from it. Thus far, Sri Lanka, Mauritius, France, UAE, Singapore, and others have partnered with India or expressed intentions to collaborate on emerging fintech and payment solutions.

India, Greece sign MoU towards enhancing cross-border payments using UPI

February 29, 2024, 5:17 pm

Just a week after Greek Prime Minister Kyriakos Mitsotakis visited India, a major Greek bank Eurobank and NPCI International Payments Limited (NIPL), a subsidiary of National Payments Corporation of India (NPCI) signed a Memorandum of Understanding (MoU) towards using the UPI platform for cross-border payments.

The official joint statement issued on Thursday reads, “The understanding is aimed at revolutionising the process of international money transfers, with a specific focus on streamlining remittances from Greece to India.”

“The MoU was signed at the Embassy of Greece in New Delhi by Ritesh Shukla, CEO of NIPL, and Fokion Karavias, CEO of Eurobank, in the presence of Kostas Fragogiannis, Deputy Minister of Foreign Affairs of Greece, Maira Myrogianni, Secretary General for International Economic Affairs of Greece and Chairperson, Enterprise Greece, and Sanjay Tugnait, President and CEO of Fairfax Digital Services,” the statement added.

This lays the foundation for a major strategic alliance where both nations can take part to enhance quick and seamless transactions using the UPI interface.

Google Pay to Globalize UPI, Aiding Establishment of Similar Payment Systems Abroad

January 17, 2024, 4:33 pm

Google Pay, under Alphabet Inc.’s Google India Digital Services Pvt, has entered into a partnership with the National Payments Corporation of India (NPCI) to extend its services beyond India. The collaboration aims to leverage India’s Unified Payments Interface (UPI) and make international payments more convenient for Indian travelers. Additionally, the partnership will assist in establishing UPI-like digital payment systems in other countries.

The agreement aligns with NPCI’s efforts to strengthen India’s position in the global digital payment landscape. The collaboration is expected to simplify remittances by reducing reliance on traditional money transfer channels. India’s Prime Minister Narendra Modi’s government has expressed ambitions to globalize UPI, with previous link-ups with countries like Singapore for real-time money transfers. Explorations for collaborations with other nations, including Sri Lanka and the United Arab Emirates, have also been reported.

As of November, the UPI platform recorded transactions amounting to ₹17.4 trillion ($209 billion), according to the latest data from the Reserve Bank of India. The collaboration between Google Pay and NPCI is poised to contribute to the further internationalization of India’s digital payment systems.

New Regulations and Changes in UPI Transactions Effective From Today

January 1, 2024, 4:15 pm

Starting January 1, 2024, the Reserve Bank of India (RBI) has implemented several measures to enhance and regulate the Unified Payments Interface (UPI), a rapidly growing mode of immediate money transfers through mobile devices in the country.

To broaden the scope of UPI payments, the National Payments Corporation of India (NPCI) has directed payment apps and banks, including Google Pay, Paytm, and PhonePe, to deactivate UPI IDs and numbers inactive for over a year. Additionally, the daily payment limit for UPI transactions is capped at ₹1 lakh.

However, exceptions have been made, and on December 8, 2023, RBI increased the transaction limit for UPI payments to hospitals and educational institutions to ₹5 lakh. Meanwhile, a 1.1% interchange fee will be applicable on specific merchant UPI transactions exceeding ₹2,000 and made using prepaid payment instruments (PPI), such as online wallets.

In response to the rising instances of online payment fraud, a four-hour time limit will be imposed each time a user initiates the first payment exceeding ₹2,000 to another user with whom they have not previously transacted. The introduction of the UPI ‘Tap and Pay’ functionality is anticipated to go live for UPI members soon.

Moreover, a collaboration between RBI and the Japanese company Hitachi will bring UPI ATMs to various locations in India. With this, users can scan a QR code to withdraw cash directly from their bank accounts.

The Unified Payments Interface (UPI) has witnessed tremendous growth, crossing 10 billion transactions in August 2023. The new regulations aim to streamline and secure UPI transactions, making it a more efficient and reliable mode of digital payments in India.

RBI Raises UPI Payment Limits for Hospitals and Educational to Rs 5 lakh

December 8, 2023, 12:53 pm

In a major decision, the RBI on Friday announced to raise the UPI payment limit to hospitals and educational institutions to Rs 5 lakh from Rs 1 lakh presently and hiked the cap for e-mandates for recurring payments to Rs 1 lakh.

Unveiling the December bi-monthly monetary policy, Reserve Bank Governor Shaktikanta Das said the limit for various categories of Unified Payments Interface (UPI) transactions has been reviewed from time to time.

“It is now proposed to enhance the UPI transaction limit for payment to hospitals and educational institutions from Rs 1 lakh to Rs 5 lakh per transaction,” he said.

India’s global identity through UPI and RuPay: PM Modi

March 7, 2023, 4:01 pm

The world recognises India through its use of the RuPay and UPI technologies, Prime Minister Narendra Modi said in a statement on Tuesday. PM Modi addressed the subject of ‘Enhancing Efficiency of the Financial Services for Creating Growth Opportunities’ during a post-budget webinar. “In the era of ‘Industry 4.0,’ platforms developed by India are becoming models for the world,” PM Modi said. This webinar was the tenth in a series of 12 that the government had organised. The aim of this webinar is to seek ideas and suggestions for effective implementation of the initiatives announced in the Union Budget 2023.

“Rupay and UPI are more than just a cheap and safe technology”, but this is our identity in the world. There is a huge scope for innovation. We have collectively worked for financial inclusion and empowerment through UPI for the whole world.

“Rupay and UPI are not just a low-cost and highly secure technology; they are our identity in the world. There is immense scope for innovation. UPI should become a means of financial inclusion and empowerment for the whole world; we have to collectively work for it. I propose that in order to expand their reach, our financial institutions should also partner as much as possible with fintech, “PM Modi said.

India has emerged as one of the fastest-growing ecosystems for fintech innovation, and the PM Modi-led government has been instrumental in driving the globalisation of India’s digital payment infrastructure. A key emphasis of PM Modi has been ensuring that the benefits of UPI are not limited to India alone but that other countries, too, benefit from it.

Soon India-Singapore to initiate money transfer through UPI

November 11, 2022, 1:48 pm

India and Singapore have apparently concluded the technical preparations to link their fast payment systems. UPI and PayNow may soon be available to users in order to initiate smooth fund transfers between the two countries instantaneously and at low cost. This move will significantly be beneficial for migrant workers.

The Reserve Bank of India (RBI) and Singapore’s central bank, the Monetary Authority of Singapore (MAS), have been working on linking the United Payments Interface (UPI) and PayNow, a project that is expected to roll out very soon. “Singapore wants to connect its PayNow with UPI and that project will finish sometime in the next few months when that happens anybody sitting in Singapore will be able to send money to their family members in India,” India’s High Commissioner in Singapore P Kumaran said.

Money transfer between both the countries is expected to take place with the help of numbers. As soon as the project gets formalized, Prime Minister Modi will make the official announcement.

“For us, the practical implications sitting here is that any worker who wants to send small amounts can do so at a fraction of the money they are being charged by the standard money transfer companies. So it is going to be a big benefit to those who instead of sending money in one go can do so in small pieces and it will still cost less,” the Indian envoy to Singapore said.

PayNow is homogenous to India’s home grown card payment network RuPay. Apart from this, PayNow has linkages with other countries of Asean, which makes it easier for people to buy and sell within the region.

“PayNow also has similar initiatives with other countries in Asean so when PayNow connects this side with India and that side with Asean countries they can go from India to any Asean country through Singapore. They currently have a project with the Philippines, the Indian ambassador said.

With 4.8 million deployed devices, Paytm increases its position as the industry leader in payments

October 10, 2022, 7:08 pm

Paytm, India’s top provider of digital financial services and mobile and QR payments, has further solidified its position as a market leader in the payments industry with more than 4.8 million deployed devices.

One 97 Communications Ltd., the parent company of Paytm, reported in a regulatory filing to the stock exchanges that the company disbursed 9.2 million loans in the second quarter of the fiscal year 2022–23, representing a volume increase of 224% year over year. At Rs 7,313 crore ($894 million), the total amount of loans disbursed during the quarter increased by 482% year over year.

According to an update on operating performance that One 97 Communications Ltd. provided to the stock exchanges, the company continues to see plenty of growth and upsell prospects in this business and is now concentrating on the quality of the book.

The company has released its monthly business operating performance update for the second quarter of the fiscal year 2022–23. Consumer engagement is at its peak on the Paytm Super App, and Paytm’s loan distribution business continues to experience rapid growth with disbursements at an annualised run rate of Rs 34,000 ($4.1 billion).

The company emphasised its subscription-as-a-service business model and claimed that the widespread use of devices is fueling larger payment volumes, subscription revenues, and the distribution of merchant loans.

The company’s extensive payment offerings continue to enjoy increasing user engagement thanks to the Paytm Super App. As a result, the company’s average monthly transactional users (MTU) for the quarter reached a new high of 79.7 million, up 39% year over year.

The Gross Merchandise Value (GMV), which is the amount of merchant payments processed through the platform, increased consistently for Paytm. The GMV for the second quarter of FY23 was Rs 3.18 lakh crore ($39 billion), up 63% from the same period last year.

After a solid start to the fiscal year, the company has gained more momentum with the strong performance in Q2 FY23.

The company’s revenue increased by Rs 1,680 crore, or 89 percent year on year, in the first quarter of 2022-2023, while the loss from EBITDA (before ESOP) decreased to Rs 275 crore, a Rs 93 crore improvement from the previous quarter.

Additionally, the business’ contribution profit increased by 197% year over year to Rs 726 crore, which resulted in an increase in contribution margin to 43% of revenues from 35% in the fourth quarter of 2021–2022.