India, Singapore to Link Digital Payments Systems UPI, PayNow for Cross-Border Transactions: All Details
Prime Minister Narendra Modi and Singaporean counterpart Lee Hsien Loong will witness the launch and linkage of cross-border connectivity between the Unified Payments Interface (UPI) of India and PayNow of Singapore on Tuesday.
The linkage of these two payment systems of both countries would enable residents of both countries to the faster and more cost-efficient transfer of cross-border remittances.
The launch is scheduled at 11 am on Tuesday and is to be held via video conferencing.
Shaktikanta Das, Governor, Reserve Bank of India (RBI), and Ravi Menon, Managing Director, Monetary Authority of Singapore (MAS) will preside over the launch event.
India has emerged as one of the fastest-growing ecosystems for fintech innovation.
Prime Minister Narendra Modi-led government has been instrumental in driving the globalisation of India’s digital payment infrastructure.
A key emphasis of PM Modi has been on ensuring that the benefits of UPI are not limited to India only, but other countries too benefit from it.
“It will also help the Indian diaspora in Singapore, especially migrant workers and students through instantaneous and low-cost transfer of money from Singapore to India and vice-versa,” the Prime Minister’s Office said in a release.
Meanwhile, taking into account the popularity of the UPI payment system, the Reserve Bank of India proposed to permit all inbound travellers to India to use UPI for their merchant payments while they are in the country.
UPI payments system has become hugely popular for retail digital payments in India, and its adoption is increasing at a rapid pace.
On February 8, the RBI governor made the announcement while deliberating upon the outcome of the three-day monetary policy committee meeting.
To begin with, the facility will be extended to travellers from G-20 countries arriving at “select international airports”.