Introduction: In a significant development, the integration between the Unified Payments Interface (UPI) and Singapore’s Pay Now is paving the way for Indians to receive rapid, secure, and cost-effective remittances from the Indian diaspora in Singapore. This seamless process allows funds to be directly transferred into the recipients’ bank accounts, enhancing convenience and efficiency.

Access to this feature is currently available to users of popular apps such as BHIM, PhonePe, and Paytm, along with certain banks including Axis Bank, DBS Bank India, ICICI Bank, Indian Bank, Indian Overseas Bank, and State Bank of India. The collaboration is expected to expand further, encompassing additional Third-Party Application Providers (TPAPs) and banks, providing users with a broader range of choices.

Detailed Analysis:

Key Benefits:

  • Instant Transfers: The integration ensures real-time fund transfers, with funds reaching the recipient’s bank account within seconds.
  • Security Measures: Robust security protocols are employed to guarantee the safety and reliability of transactions.
  • Cost-Effectiveness: With competitive transaction fees, the service is particularly advantageous for small and frequent remittances.
  • Convenience: Available 24/7, 365 days a year, the facility offers unparalleled convenience to users.

Participating Banks and Apps:

  • Current Participants: BHIM, PhonePe, Paytm, Axis Bank, DBS Bank India, ICICI Bank, Indian Bank, Indian Overseas Bank, State Bank of India.
  • Upcoming Participants: Anticipated additions include Bank of Baroda, Bank of India, Canara Bank, Central Bank of India, Federal Bank, HDFC Bank, IDFC First Bank, IndusInd Bank, Karur Vysya Bank, Kotak Mahindra Bank, Punjab National Bank, South Indian Bank, UCO Bank, and more.

Interoperability Milestone:

  • The collaboration between the Reserve Bank of India (RBI) and the Monetary Authority of Singapore (MAS) has achieved a notable interoperability milestone.
  • The increasing adoption of UPI in cross-border transactions showcases the growing significance of digital payment ecosystems in fostering financial inclusion and convenience.

Future Implications:

  • The ongoing expansion is expected to enhance the overall growth of India’s digital payment ecosystem.
  • More participants mean increased accessibility, providing users with diverse options for receiving cross-border remittances.

Conclusion: The UPI-Pay Now linkage signifies a remarkable advancement in cross-border remittances, offering Indians an efficient and secure channel for receiving funds from Singapore. The collaborative efforts of the RBI and MAS underline the commitment to advancing digital payment ecosystems. As this integration expands to include more banks and apps, it is poised to play a pivotal role in shaping the future of India’s digital economy. Users can stay informed about this transformative linkage and its implications for the financial landscape.

*****

NPCI

Major UPI Apps Enabled to Receive Remittances from Singapore via UPI-Pay Now Linkage

Users can receive funds from Singapore through UPI

Mumbai, 11 January 2024: The cross-border linkage between Unified Payments Interface (UPI) & Pay Now is enabling Indians to receive instant, secure, and cost-effective remittances from Singapore-based Indian diaspora directly into their bank accounts. This facility can be

accessed by users of BHIM, PhonePe, and Paytm apps. Additionally, banks such as Axis Bank, DBS Bank India, ICICI Bank, Indian Bank, Indian Overseas Bank, and State Bank

of India provide this functionality through their respective apps.

More Third-Party Application Providers (TPAPs) and bank apps such as Bank of Baroda, Bank of India, Canara Bank, Central Bank of India, Federal Bank, HDFC Bank, IDFC First Bank, IndusInd Bank, Karur Vysya Bank, Kotak Mahindra Bank, Punjab National Bank, South Indian Bank, and UCO Bank are expected to be added to the linkage soon. This expansion will broaden the range of choices offered to customers.

Key benefits of receiving funds via UPI-Pay Now:

  • Instant: Funds are transferred in real-time, reaching the recipient’s bank account within seconds.
  • Secure: The linkage utilizes robust security protocols to ensure safe and reliable transactions.
  • Cost-effective: Transaction fees are competitive, making the service ideal for small and frequent remittances.
  • Convenient: The facility is available 24/7, 365 days a year

This interoperability milestone is the result of close collaboration between the Reserve Bank of India (RBI) and Monetary Authority of Singapore (MAS). The increasing adoption of UPI in cross-border transactions not only amplifies financial inclusion and convenience but also plays a pivotal role in fostering the overall growth of India’s dynamic digital payment ecosystem.

To know more about UPI-PayNow linkage, click here.

About NPCI:

National Payments Corporation of India (NPCI) was incorporated in 2008 as an umbrella organization for operating retail payments and settlement systems in India. NPCI has created a robust payment and settlement infrastructure in the country. It has changed the way payments are made in India through a bouquet of retail payment products such as RuPay card, Immediate Payment Service (IMPS), Unified Payments Interface (UPI), Bharat Interface for Money (BHIM), Aadhaar Enabled Payment System (AePS), National Electronic Toll Collection (NETC) and Bharat BillPay.

NPCI is focused on bringing innovations in the retail payment systems through the use of technology and is relentlessly working to transform India into a digital economy. It is facilitating secure payment solutions with nationwide accessibility at minimal cost in furtherance of India’s aspiration to be a fully digital society.

Tags:

Join Taxguru’s Network for Latest updates on Income Tax, GST, Company Law, Corporate Laws and other related subjects.

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Telegram

taxguru on telegram GROUP LINK

Download our App

  

More Under Finance

Leave a Comment

Your email address will not be published. Required fields are marked *

Search Posts by Date

February 2024
M T W T F S S
 1234
567891011
12131415161718
19202122232425
26272829