Categories: AgreementsCurrent Affairs

Google Pay Partners With NPCI To Extend UPI Payments Globally

In a significant move towards fostering international digital transactions, Google India Digital Services and NPCI International Payments Ltd (NIPL) have joined hands to propel UPI payments beyond the borders of India. The recently signed Memorandum of Understanding (MoU) between the two entities is poised to revolutionize the way Indian travellers engage in financial transactions abroad.

Empowering Indian Travellers: UPI Payments Beyond Borders

The primary objective of the MoU is to enhance the usage of UPI payments for Indian travellers outside their homeland. With this collaboration, Google Pay (GPay) becomes the conduit, enabling seamless and convenient transactions for Indian globetrotters. This marks a departure from the traditional reliance on cash or international payment gateways.

A Tripartite Vision: Key Objectives of the MoU

The MoU outlines three pivotal objectives that aim to reshape the landscape of international digital payments. First and foremost, it seeks to broaden the scope of UPI payments, providing travellers the ease of conducting transactions in foreign countries. Secondly, the collaboration aims to establish UPI-like digital payment systems globally, setting a precedent for frictionless financial exchanges. Lastly, it focuses on simplifying cross-border financial exchanges by leveraging the UPI infrastructure for remittances between countries.

Simplifying Cross-Border Financial Exchanges: The Core Focus of the Agreement

At the heart of this strategic partnership is the effort to streamline the process of remittances between countries. By utilizing the robust UPI infrastructure, the collaboration aims to simplify cross-border financial exchanges, reducing reliance on conventional money transfer channels. This not only benefits Indian travellers but also contributes to the global ease of financial transactions.

NIPL’s Perspective: Extending Expertise Beyond Borders

Ritesh Shukla, CEO of NIPL, expressed enthusiasm about the collaborative effort, stating, “This strategic partnership will not only simplify foreign transactions for Indian travellers but will also allow us to extend our knowledge and expertise of operating a successful digital payments ecosystem to other countries.” This sentiment underscores the potential for knowledge transfer and the positive impact on the global digital payments landscape.

Globalizing UPI: Strengthening UPI’s Presence on the Global Stage

The MoU is expected to fortify UPI’s global presence, opening doors for foreign merchants to tap into the vast Indian customer base. With the option of using UPI-powered apps from India, including Google Pay, Indian customers abroad will have a more convenient and familiar digital payment experience. This development also holds the promise of reducing dependence on foreign currency, credit cards, or forex cards.

An Exciting Prospect: Google Pay’s Perspective

Deeksha Kaushal, Director, Partnerships, Google Pay India, expressed excitement about the collaboration, stating, “UPI has demonstrated to the world the step change that happens in economies with the introduction of interoperable, population scale digital infrastructure, and each economy that joins such networks will create impact beyond the sum of parts. We are very excited about the scope of this collaboration.”