India and Singapore to Link UPI and PayNow for Instant Fund Transfers

UPI-PayNow-Linkage

The Reserve Bank of India (RBI) announced a project with the Monetary Authority of Singapore (MAS) to link Unified Payments Interface (UPI) and PayNow – their respective payment systems. This linkage is targeted for operations by July 2022 to enable UPI and PayNow users to make instant, low-cost fund transfers without signing up for the other payment system.

On one hand, Indian users have UPI as a fast payment method for round-the-clock payments. On the other, PayNow is an electronic fund transfer service that allows instant transfer of money using the payee’s Singapore NRIC/FIN, UEN number, or mobile number. PayNow also supports participating banks and NFIs (Non-Banking Financial Institutions).

UPI-PayNow Linkage Milestone

As per RBI Press Release, this linkage is a crucial milestone in the cross-border payments infrastructure development between our nation and Singapore. It also aligns with the priorities of the G20 to drive transparent cross-border payments.

The idea behind this linkage is based on the efforts laid by NIPL (NPCI International Private Limited) and NETS (Network for Electronic Transfers) to ensure cross-border interoperability of payments between the two countries, said the RBI. It also forms a part of the RBI’s vision of reviewing charges related to inbound cross-border remittances as given in Payment System Vision Documents.

Also Read: India Becomes the World’s Third Largest Fintech Centre As Investments Doubled

You May Also Like
Indian-Unicorns
Read More

68 Unicorns Now in India, With 30 New Additions in 2021

Unicorn companies are known to make their place in the targeted industry and attain recognition in the eyes of both consumers and investors. 66 Unicorns are now in India, with 28 new startups entering the unicorn club in 2021.