Saturday, 28 January 2023

Nepal to deploy India's UPI platform

Nepal to deploy India's UPI platform

The first country to adopt and approve India's UPI system is Nepal, which will play a key role in transforming the digital economy of the neighboring nation, (NPCI) the National Payments Corporation of India said on Thursday.

(NIPL)NPCI International Payments Ltd, the international arm of NPCI, has joined hands with (GPS)Gateway Payments Service and Manam Infotech to provide the services in Nepal.

GPS is the authorized payment system operator in Nepal, and Manam Infotech will deploy Unified Payments Interface (UPI).

The collaboration will serve Nepal's larger digital public good and bolster interoperable real-time person-to-person (P2P) and person-to-merchant (P2M) transactions in the neighboring country, NPCI said in a statement.

It said.

"Nepal will be the first country out of India to accept UPI as the payments platform operating the digitalization of cash transactions and furthering the objectives and vision of the Nepal Rastra Bank and Nepal Government as the Central bank,"

The collaboration will allow the last-mile consumers in Nepal to reap the benefits of an open, interrelated payments system driving immediate payment transfers between merchant payments in real-time and bank accounts.

Nepal to deploy India UPI platform 1unsplash image

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Rajesh Prasad Manandhar, CEO of GPS, said.

It will also allow the way forward for real-time cross-border P2P remittances between India and Nepal, NPCI said. UPI service has created an important positive impact in India regarding the country's digital payment transformation,

He said.

"We expected UPI in Nepal would play a key role in transforming the digital economy of the country and dreams of building a cash-less society,"

In 2021, UPI enabled 3,900 crores financial transactions valuing USD 940 billion, equivalent to approximately 31 percent of India's GDP.

UPI's real-time payment infrastructure will help catalyze the process of financial inclusion in Nepal and create more opportunities for businesses, NPCI said.

It will help modernize Nepal's digital payment infrastructure and bring the convenience of digital payments to citizens of Nepal.

Naga Babu Ramineni, Director of Manam said.

"Manam has always been part of major digital transformation across the various regions of the world, we believe this partnership will eliminate all the barriers of payment transformation within Nepal and across the border thereby transforming the regional economy,"