New Delhi - In a significant development, India's Unified Payments Interface (UPI) technology will now be embraced by neighboring Sri Lanka. The momentous agreement was exchanged between India and Sri Lanka during a high-profile event attended by Prime Minister Narendra Modi and Sri Lankan President Ranil Wickremesinghe in the national capital. UPI has already gained immense popularity as a retail digital payment system in India and is witnessing rapid adoption.

India's fintech and payment solutions have previously collaborated with France, UAE, and Singapore, reflecting the growing interest in the country's emerging technologies.

The UPI system in India allows customers to make instant round-the-clock payments using a Virtual Payment Address (VPA), making it a highly convenient and efficient payment method.

In recent times, India has also signed agreements with Singapore and France to facilitate cross-border transactions through their respective payment systems. Furthermore, a Memorandum of Understanding (MoU) was exchanged between the Reserve Bank of India and the Central Bank of the UAE to integrate UPI and UAE's Instant Payments Platform (IPP).

The Indian government, under Prime Minister Modi's leadership, has been driving the global expansion of the country's digital payment infrastructure. The emphasis is on ensuring that the benefits of UPI extend beyond India's borders to benefit other countries as well.

In line with this vision, the Reserve Bank of India has proposed to allow all inbound travelers to India to use UPI for merchant payments while they are in the country. Initially, this facility will be offered to travelers from G20 countries arriving at select international airports.

India's continuous efforts in fintech innovation have positioned it as one of the fastest-growing ecosystems in the world, propelling the global reach of UPI and driving international collaborations in the field of digital payments.