 "rbi reserve bank of india")
The Reserve Bank of India (RBI) on Thursday said that the RBI and Nepal Rastra Bank entered into an agreement integrating the Unified Payments Interface (UPI) of India and the National Payments Interface (NPI) of Nepal for cross-border remittances.
“The integration of Indian and Nepalese fast payment systems is aimed at facilitating cross-border remittances between the two countries by enabling users of the two systems to make instant, low-cost fund transfers,” RBI said in its press release.
As per the Terms of Reference exchanged between the two central banks, the necessary systems will be put in place for interlinking of UPI and NPI, whereas the formal launch of the linkage, i.e., the commencement of operations, will be done at a later date.
Post-implementation, users of these applications will be able to conduct instant transactions at a lesser cost between the countries.
The collaboration between India and Nepal in linking their fast payment systems through the UPI-NPI linkage will deepen financial connectivity and reinforce the enduring historical, cultural, and economic ties between the two countries.
Recently, Sri Lanka, Mauritius, and France have enabled the Indian digital payment system -- UPI in these countries.
