NewKerala.com

Key Points

India Post and NPCI have joined forces to offer a low-cost, secure remittance channel for the Indian diaspora using UPI. The initiative integrates the postal network with UPI for real-time transfers, reducing costs significantly. This move enhances financial inclusion, especially in regions with limited banking access. Officials highlight its potential to transform cross-border payments for millions.

Key Points: India Post and NPCI Launch UPI-Based Affordable Remittance Service

  • UPI-UPU integration to cut remittance costs for Indian diaspora
  • Postal network expands financial inclusion globally
  • Real-time transfers enhance efficiency for beneficiaries
  • Secure transactions backed by UPI and postal trust
2 min read

Department of Posts links up with UPI to set up safe low-cost channel for remittances to India

India Post and NPCI partner to enable low-cost, secure UPI remittances for the Indian diaspora through postal networks.

"We are thrilled to partner with NIPL on this innovative project – L.K. Dash, Department of Posts"

New Delhi, July 24

India's Department of Posts and NPCI International Payments Limited (NIPL), the international arm of National Payments Corporation of India, on Thursday announced the signing of a non-disclosure agreement to collaborate on a path-breaking initiative that will provide an affordable and secure channel for the Indian diaspora worldwide to send money back home.

This partnership will leverage the power of the Unified Payments Interface (UPI) and the Universal Postal Union (UPU) Interconnection Platform (IP) to create a seamless, secure, and affordable remittance channel for the Indian diaspora worldwide, according to an official statement.

This collaboration marks a significant step towards modernising cross-border payment services and enhancing financial inclusion for millions of Indians. By integrating UPI with the postal network, this initiative aims to provide a convenient and accessible alternative to traditional remittance methods, reducing costs and improving efficiency for senders and beneficiaries.

The UPI-UPU-IP integration is expected to significantly reduce remittance costs, making it more affordable for Indian workers abroad to send money home.

Leveraging the robust security features of UPI and the trusted reputation of the postal network, this service will ensure secure and reliable transactions for both senders and beneficiaries.

By utilising the global postal network, this initiative also extends the reach of UPI-enabled remittances to regions where traditional banking services may be limited, promoting financial inclusion for a broader segment of the Indian diaspora.

Through the efficient payment processing driven by the real-time system using technology transfers would happen in real time, thus benefiting the families back home.

"We are thrilled to partner with NIPL on this innovative project," said L.K. Dash, Deputy Director General, International Relations and Global Business, Department of Posts. "This collaboration aligns with our commitment to providing accessible and affordable financial services to all citizens, including the Indian diaspora. By leveraging the UPU Interconnection Platform and the UPI network, we are confident that we can create a truly transformative remittance solution."

NIPL chief executive officer Ritesh Shukla said: "NIPL is committed to expanding the reach of UPI globally and enabling seamless cross-border payments. We believe that this partnership with the Department of Posts will unlock significant opportunities for financial inclusion and enhance the remittance experience for millions of Indians worldwide."

- IANS

Share this article:

Reader Comments

S
Shreya B
Hope they implement this properly. Last time when India Post launched new services, there were so many technical glitches. But if it works, it will be great for my parents in village who don't have bank accounts.
A
Arjun K
UPI is India's gift to the world 🌍! Combining it with postal network is brilliant. Now our hardworking laborers in Gulf countries can send money home without middlemen eating up their earnings.
P
Priya S
Good initiative but will it work in remote areas? My experience with India Post in rural Odisha hasn't been great. They need to train postal staff properly before launch.
M
Michael C
As someone who frequently sends money to my wife's family in Kerala, this could save me hundreds in fees annually. The real-time transfer is what excites me most - no more 3-day waits!
K
Kavya N
Digital India making waves again! 🇮🇳 So proud to see our systems being adopted globally. This will especially help migrant workers who often get exploited by money transfer agents.
V
Vikram M
Hope they maintain proper security measures. UPI frauds are increasing these days. The post office should conduct awareness campaigns before rolling this out nationwide.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

Leave a Comment

Minimum 50 characters 0/50