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India-Nepal: UPI-NPI Unites Nations With Instant Cross-Border Payments

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Key points generated by AI, verified by newsroom

  • New cross-border remittance service launched between India and Nepal.
  • UPI and NPI platforms enable real-time, secure money transfers.
  • Users transfer funds using mobile numbers or UPI IDs.

Kathmandu: Nepalese citizens working in India and Indian citizens employed in Nepal can now send money directly to their families or friends using banking applications, following the launch of a new cross-border remittance service between the two neighbouring countries.

Nepal Clearing House Ltd. (NCHL) has announced the launch of payment linkage between India’s Unified Payments Interface (UPI) and Nepal’s National Payments Interface (NPI) platforms.

This partnership enables real-time, low-cost, and secure cross-border remittances between India and Nepal, allowing users in both countries to make seamless person-to-person (P2P) transfers, according to a statement issued by NCHL.

“The successful launch of this linkage between Nepal and India is a testament to our close collaboration and commitment to making cross-border fund transfer seamless, real-time and convenient,” said Neelesh Man Singh Pradhan, Chief Executive Officer, NCHL.

“As we embark together on a digital payments journey, we look forward to adding more services and ensuring inclusion for the millions of people and businesses on both sides.” Now available through select banks, the service will soon be expanded to additional banks, further enhancing accessibility across a wide range of financial institutions.

The service is currently available through Everest Bank, Global IME Bank, Machhapuchchhre Bank, Nabil Bank and Nepal SBI Bank, according to sources at the Nepal Rastra Bank, the central bank of Nepal.

Customers of Himalayan Bank, NMB Bank and Siddhartha Bank can receive transfers through the system.

“The UPI-NPI linkage represents a major advancement in financial inclusion, fostering stronger economic and digital ties between India and Nepal,” states NCHL in its statement.

“This project aligns with the G20’s goals for accessible and affordable cross-border payments, facilitating a direct connection between the fast-payment systems of both countries, thereby reinforcing the longstanding social, cultural, and economic bonds shared by India and Nepal.” Indian and Nepalese users can now send money to Nepal using the receivers’ mobile numbers or virtual payment addresses (VPAs), while users can transfer funds to India from Nepal using UPI IDs.

This process removes the need to share sensitive bank account information, offering a simplified, secure, and convenient experience for users on both sides of the border.

Under the arrangement, users from Nepal can send up to INR 15,000 per transaction with a monthly limit of INR 100,000 while users from India can send up to INR 200,000 per transaction with no monthly restriction.

(Disclaimer: This report has been published as part of the auto-generated syndicate wire feed. Apart from the headline, no editing has been done in the copy by ABP Live.)

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