India partners with Google Pay to expand reach of Unified Payment Interface

India’s National Payments Corporation of India (NPCI) announced in a press release on 17th January that it has entered into a partnership with Google Pay to expand the Unified Payments Interface (UPI) globally. Currently, UPI is widely regarded as one of the most popular methods of digital payment in India, contributing significantly to the growth of digital payments. It is a real-time payment system which has been developed by NPCI that allows users to link multiple bank accounts to a single mobile application. UPI uptake can be attributed to its features which drastically enhances consumer convenience. UPI’s key features include interoperability, allowing users to send and receive money across different banks and financial institutions, 24/7 availability of service, and immediate fund transfers directly to bank accounts, among others.

The press release highlights three key objectives. Firstly, it aims to expand the usage of UPI payments for international travelers, allowing them to conveniently conduct transactions abroad. Secondly, it seeks to facilitate the establishment of UPI-like digital payment systems in other countries, serving as a blueprint for seamless financial transactions. Lastly, it focuses on streamlining cross-border remittances through the utilization of the UPI infrastructure, reducing reliance on traditional money transfer methods and simplifying financial exchanges between countries.

Overall, it will enable in the worldwide adoption of UPI, giving international merchants the opportunity to reach Indian customers who can now make digital payments without relying solely on foreign currency, credit cards, or forex cards. They can choose to use UPI-powered apps from India like Google Pay. This move also aligns with NPCI’s goal of enhancing India’s position in the global digital payment industry.