Cross-border UPI payments service launched by PhonePe
PhonePe announced the debut of a service that will enable its Indian users who are travelling overseas to pay foreign businesses using the Unified Payments Interface (UPI). “UPI international” enables retail locations with a native QR (quick response) code in the UAE, Singapore, Mauritius, Nepal, and Bhutan. Similar to how they do with overseas debit cards, users would be able to make direct payments in a foreign currency from their Indian bank. The Walmart-backed finance app PhonePe claimed to be the first to do so in India.
Cross-border UPI payments service launched by PhonePe: Key Points
- PhonePe, with a recent $350 million investment from General Atlantic and a $12 billion pre-money valuation, became the most valuable fintech company in India.
- According to a report by Bain and Company, the money will enable PhonePe to expand its business and compete with Google Pay, Paytm, and Amazon Pay in the $350 billion Indian fintech market by 2026.
- Users of PhonePe can use the PhonePe App to authorise their UPI-linked bank account for the service at the merchant location or in advance of their foreign travel.
- To activate the service, the customer would need to enter their UPI pin.
- Since its launch in December 2015, PhonePe has grown to become India’s top payments app. With 435 million registered users, PhonePe is currently used by one in four Indians.
What all are the new features of India?
- To make purchases at overseas merchant outlets, Indian shoppers must use foreign currency, their credit cards, or their forex cards.
- They can now utilise their Indian bank account to make UPI payments thanks to a feature of PhonePe.
- This year, UPI International will be expanded to new nations, according to plans by the National Payments Corporation of India (NPCI) and NPCI International Payments Limited. UPI was made by NPCI.