Nepal, India agree to start cross-border payment

FEBRUARY 16: Nepal and India have agreed to commence the cross-border payment service between the two countries. The agreement to this effect was inked today in the presence of Nepal Rastra Bank governor Maha Prasad Adhikari and his India counterpart Shaktikanta Das.

As per the deal, the Nepal-based National Payment Interface (NPI) will be integrated with the India-based United Payment Interface (UPI) to facilitate cross-border remittances between India and Nepal. The integration enables the users of both systems to make instant, low-cost fund transfers.

The necessary technology, as per the reports, will be employed soon for the interlinking of UPI and NPI. The formal launch of cross-border UPI operations is expected to take place at a later date.

During the state visit of Prime Minister Pushpa Kamal Dahal to India last May, Nepal and India reached an understanding to start the cross-border payment service.