India Expands Digital Financial Footprint to Sri Lanka and Mauritius with UPI and RuPay Launch
In Short:
- Digital Diplomacy: India launches UPI and RuPay in Sri Lanka and Mauritius, enhancing financial ties and digital connectivity within the Indian Ocean Region.
- Mutual Benefits: The move aims to simplify cross-border transactions, benefiting Indian, Sri Lankan, and Mauritian nationals through streamlined financial exchanges.
- Strategic Partnership: Reflects India’s commitment to its ‘neighbourhood first policy’, sharing its digital infrastructure success to foster regional economic growth and cooperation.
India has taken a significant step in strengthening its digital and financial ties with Sri Lanka and Mauritius by rolling out its pioneering Unified Payment Interface (UPI) services and RuPay card services in these countries. This landmark initiative was announced in a virtual ceremony graced by Indian Prime Minister Narendra Modi, alongside Mauritian Prime Minister Pravind Jugnauth and Sri Lankan President Ranil Wickremesinghe.
Prime Minister Modi heralded this development as a fusion of traditional bonds with cutting-edge digital technology, emphasizing the potential benefits of these fintech services for enhancing the financial landscape in Sri Lanka and Mauritius. He expressed confidence in the positive impact of the UPI system for both countries, highlighting India’s transformative journey through digital public infrastructure.
The introduction of UPI and RuPay services is set against the backdrop of India’s proactive efforts to fortify its bilateral economic relationships with Sri Lanka and Mauritius. This initiative not only facilitates seamless financial transactions for Indians travelling to these countries (and vice versa) but also reflects India’s broader ‘neighbourhood first policy’. Modi reiterated India’s commitment to being a steadfast partner in the region, ready to provide support whether in times of crisis or in fostering economic growth.
The National Payments Corporation of India (NPCI) developed UPI as a revolutionary instant payment system that operates across banks via mobile phones. RuPay, on the other hand, stands as India’s own global card payment network, accepted widely across various platforms. The extension of these services to Sri Lanka and Mauritius signifies a new era of financial integration and cooperation within the Indian Ocean Region, promising to elevate the economic and digital connectivity among these nations.
