Consider the following countries:

How many countries amongst the above are there other than India where international merchant payments are accepted under UPI?

(a) Only two

(b) Only three

(c) Only four

(d) All the five

Answer: (b) Only three

Explanation:

The Unified Payments Interface (UPI), developed by the National Payments Corporation of India (NPCI), is one of the most popular real-time payment systems in India. Initially designed for domestic transactions, UPI has gradually expanded its reach to support international merchant payments, allowing Indian users to make payments abroad using their UPI-linked bank accounts.

Current Countries Supporting International UPI Payments:
As of now, UPI is accepted for international merchant payments in the following countries:

• United Arab Emirates (UAE)

• France

• Singapore

• Sri Lanka

• Mauritius

• Bhutan

• Nepal

This expansion is part of the “UPI Globalization” initiative by NPCI International Payments Limited (NIPL), aimed at promoting UPI as a cross-border payment solution and enhancing convenience for Indian travelers, expatriates, and businesses.

Clarification on Specific Countries:
Among the countries often cited in multiple references:

• United Arab Emirates, France, and Singapore officially support UPI for international merchant payments. Indian users can pay directly via UPI at select merchants in these countries.

• Germany and Bangladesh currently do not have UPI integration, although Indian travelers can use alternative digital payment methods like international cards or mobile wallets.

Key Points About UPI International Payments:

• Payments are usually facilitated via partnerships between NPCI and local payment service providers or merchant acquirers.

• Merchants display a QR code or UPI payment option, which Indian users can scan and pay using apps like PhonePe, Google Pay, Paytm, or BHIM.

• The initiative also aims to promote Indian digital payments globally, reduce reliance on credit/debit cards, and encourage low-cost cross-border remittances.

• Future expansions are planned in countries with a large Indian diaspora, such as the United States, United Kingdom, Canada, and Australia.

Answer: (b) Only three