Asia Press Agency

Tag: RuPay

  • India Aims to Introduce RuPay Services in Sri Lanka

    India Aims to Introduce RuPay Services in Sri Lanka

    India’s push to introduce RuPay services in Sri Lanka aims to enhance digital payment connectivity between the two countries, facilitating smoother transactions for businesses and tourists alike. However, negotiations between Indian and Sri Lankan banks have hit a roadblock over fee payment arrangements for RuPay card transactions.

     

    The Indian government is eager to expand digital payment services with Sri Lanka by offering RuPay card services, building upon the success of Unified Payments Interface (UPI) services already available in the country. The extension of RuPay services would enable mobile-based payments and settlements, fostering greater economic integration between India and Sri Lanka.

     

    Government officials familiar with the matter revealed that while there are currently no active discussions through NPCI International Payments Ltd (NIPL) for RuPay technology in Sri Lanka, both central banks are working to make this service available soon. This initiative aims to enable the use of RuPay cards for shopping and cash withdrawals from ATMs in both nations, facilitating seamless financial transactions for users.

     

    However, negotiations have encountered challenges regarding the commissions charged by banks for processing digital transactions using branded payment systems like RuPay. Despite these hurdles, authorities remain optimistic that the issues will be resolved expeditiously, paving the way for Sri Lanka to join Bhutan and Mauritius as the third country to permit both UPI and RuPay transactions.

     

    Queries directed to relevant authorities, including the Ministry of External Affairs, the Department of Financial Services, NPCI, and Sri Lanka’s High Commission, have yet to receive responses, indicating ongoing deliberations on the matter.

     

    RuPay, a product of the National Payments Corporation of India (NPCI), was introduced to offer an indigenous alternative to international card payment providers and promote India’s transition towards a less-cash economy. With services already operational in Nepal, Bhutan, Mauritius, Singapore, and the United Arab Emirates, expanding into Sri Lanka would further bolster RuPay’s global footprint.

     

    The RuPay network, supported by over 1,100 banks, including private, public, and cooperative banks, has witnessed significant adoption in India, with more than 750 million cards issued, constituting over 60% of the total cards in circulation. Prominent banks such as State Bank of India, Punjab National Bank, ICICI Bank, and HDFC Bank are among RuPay’s core promoter banks, underscoring its widespread acceptance and usage across the country.

     

    By facilitating RuPay transactions in Sri Lanka, India seeks to deepen economic ties, promote financial inclusion, and streamline cross-border payments, ultimately fostering greater regional cooperation and economic growth. As negotiations progress, stakeholders remain hopeful that a mutually beneficial agreement will soon be reached, unlocking new opportunities for businesses and consumers in both nations.

  • India to Launch UPI and RuPay Services in Sri Lanka and Mauritius

    India to Launch UPI and RuPay Services in Sri Lanka and Mauritius

    The Unified Payment Interface (UPI) services are poised to make their debut in Sri Lanka and Mauritius, marking a significant milestone in India’s digital payment landscape. Scheduled for launch at 1 pm on Monday, this development comes as part of India’s efforts to extend its digital payment infrastructure to neighboring countries. Additionally, RuPay card services will be introduced in Mauritius, enhancing financial connectivity and convenience for users in the region.

    Prime Minister Narendra Modi, along with President of Sri Lanka Ranil Wickremesinghe and Prime Minister of Mauritius Pravind Jugnauth, will oversee the “historic launch” via video conferencing, as announced by the Reserve Bank of India (RBI) in a post on X. The event will be streamed live on the RBI’s YouTube channel, allowing viewers to witness the momentous occasion.

     

    The expansion of UPI settlement services to Sri Lanka and Mauritius holds numerous benefits for travelers and citizens alike. According to the Ministry of External Affairs, the launch will facilitate seamless digital transactions for Indian nationals traveling to these countries and vice versa. Moreover, the introduction of RuPay card services in Mauritius will empower Mauritian banks to issue cards based on the RuPay mechanism, enabling users to conduct transactions both within India and Mauritius.

     

    India’s leadership in fintech innovation and digital infrastructure is highlighted by this initiative, underscoring the country’s commitment to sharing its development experiences with partner nations. The Prime Minister’s emphasis on fostering digital connectivity aligns with the government’s vision of leveraging technology to enhance financial inclusion and efficiency.

     

    The extension of digital payment services to Sri Lanka and Mauritius is expected to foster stronger ties and enhance connectivity between the countries. Leveraging India’s robust cultural and people-to-people linkages with these nations, the launch promises to deliver a faster and more seamless digital transaction experience for users across diverse demographics.

     

    In a related development, the Indian Embassy in Bahrain recently inaugurated a digital fee collection kiosk in collaboration with ICICI Bank and SADAD Electronic Payment System BSC. This self-service touch-screen kiosk provides a convenient payment solution for approximately 340,000 Indians residing in Bahrain, allowing them to pay for various services, including passport renewal, attestation, and registration processes, using debit and credit cards. This initiative underscores India’s commitment to leveraging technology to enhance service delivery and improve the overall experience for citizens living abroad.

     

    The launch of UPI services in Sri Lanka and Mauritius, along with the introduction of RuPay card services in Mauritius, represents a significant step towards strengthening digital connectivity and financial integration in the region. By leveraging India’s expertise in fintech and digital infrastructure, this initiative has the potential to drive economic growth, foster cross-border trade, and enhance financial inclusion across South Asia and beyond.

  • NPCI International to Collaborate with Al Etihad Payments

    NPCI International to Collaborate with Al Etihad Payments

    In a significant move to streamline cross-border transactions, NPCI International Payments Ltd is poised to establish a strategic agreement with Al Etihad Payments. According to a report by PTI, this pivotal pact with NPCI, will be signed in Abu Dhabi, UAE. The agreement primarily revolves around the development of a domestic card scheme in the UAE, drawing inspiration from India’s RuPay debit and credit card framework.

     

    The impending agreement’s signing will be graced by the presence of India’s commerce and industry minister, Piyush Goyal. He is currently leading a business delegation on a visit to Abu Dhabi scheduled from October 5th to October 6th.

     

    During this visit, India and the UAE will engage in discussions that span issues and challenges associated with existing investments in each other’s countries. The commerce ministry issued a statement underscoring the multifaceted nature of these talks. The statement reads, “The meeting will also review the outcomes achieved through the work of the Joint Task Force to date, and the two sides will continue exploring ways to facilitate investment in areas of mutual interest with the potential for economic growth.”

     

    Highlighting the importance of this high-level visit, Piyush Goyal will co-chair the eleventh meeting of the India-UAE High-Level Task Force on Investments (HLTFI). His co-chair for this significant forum is Sheikh Hamed Bin Zayed Al Nahyan, managing director of Abu Dhabi Investment Authority.

     

    Aside from the formal discussions, the Indian commerce minister will hold bilateral meetings with key figures, including Mubadala’s CEO and MD Khaldoon Al Mubarak. Additionally, he will engage with members of the UAE-India Business Council, prominent business leaders, and major food importers from the Gulf Cooperation Council (GCC) and Egypt.

     

    A notable achievement in the India-UAE economic partnership has been the influx of foreign direct investment (FDI) from the UAE into India. Between April 2000 and June 2023, India received a staggering $16 billion in FDI from the UAE, accounting for 2% of the total FDI during that period. This robust investment flow underscores the growing economic ties between the two nations.

     

    Furthermore, the bilateral trade between India and the UAE has witnessed remarkable growth, surging from $72.9 billion in 2021-22 to $84.9 billion in 2022-23. This substantial increase reflects the expanding avenues of collaboration in trade and commerce.

     

    In a related development, in 2022, the National Payments Corporation Of India (NPCI), which serves as the umbrella organization for UPI services, signed a memorandum of understanding (MoU) with France’s fast and secure online payment system known as Lyra. This international collaboration signifies NPCI’s commitment to fostering global partnerships for the advancement of digital payment systems.