The newly launched system, operational since 6 June 2026, creates a direct connection between India’s Unified Payments Interface (UPI) and Nepal’s National Payments Interface (NPI). This integration enables citizens from both countries to conduct seamless, secure, and real-time money transfers directly through mobile banking apps and digital wallets.
As stated by the Ministry of Finance, the UPI-NPI linkage is intended to promote financial inclusion while deepening economic and digital integration between India and Nepal. This initiative also aligns with broader regional goals of making cross-border payments more accessible, secure, and affordable.
The technical integration was achieved through a partnership between NPCI International Payments Limited (NIPL), the global arm of the National Payments Corporation of India, and Nepal Clearing House Limited (NCHL).
This cross-border payment corridor is anticipated to provide significant benefits for both consumers and businesses. Travelers will have the ability to transfer funds instantly without needing to carry physical cash, exchange currency, or deal with foreign exchange-related complications.
Moreover, this mechanism is set to assist local merchants in Nepal by granting them access to a large pool of Indian digital payment users, which may boost transaction volumes. Merchants are also expected to enjoy advantages in cash management, lower costs linked to handling physical currency, and secure real-time transaction settlements.
The direct payment linkage removes the need for slower traditional banking methods, facilitating immediate cross-border fund transfers.
Currently, UPI is accepted in nine countries — Singapore, the United Arab Emirates, France, Mauritius, Nepal, Bhutan, Qatar, Sri Lanka, and Cambodia — allowing Indian travelers to make payments abroad using familiar digital payment platforms.
