The integration enables instant peer-to-peer transfers between the two countries via mobile banking apps and digital wallets
India and Nepal have launched a direct payment linkage between India’s Unified Payments Interface and Nepal’s National Payments Interface, enabling real-time, cross-border money transfers between citizens of both countries through their existing mobile banking apps and digital wallets.
The system went live on June 6, with the technical integration handled by NPCI International Payments Limited on the Indian side and Nepal Clearing House Limited on the Nepali side.
The practical effect is straightforward: individuals in both countries can send money across the border instantly, without needing to carry cash, visit a bank branch or navigate traditional remittance channels. For the large number of Nepali workers in India and Indian visitors and businesses in Nepal, that removes real friction from everyday financial life.
Nepal is already among the nine countries where UPI is accepted, alongside Singapore, the UAE, France, Mauritius, Bhutan, Qatar, Sri Lanka and Cambodia. The new linkage goes further than acceptance at merchant terminals, enabling direct person-to-person transfers between the two payment networks rather than simply allowing Indian travellers to scan Nepali QR codes.
The launch fits into India’s broader strategy of internationalising its domestic payments infrastructure through bilateral corridors, reducing dependence on traditional correspondent banking and extending the UPI network’s reach across South and Southeast Asia.