India to Revolutionize Inward Remittances via UPI and Postal Network Integration
New Delhi, July 25: In a strategic move to modernize cross-border remittance services, the Department of Posts (DoP), Ministry of Communications, and NPCI International Payments Limited (NIPL) have signed a Non-Disclosure Agreement (NDA) to collaborate on a next-generation remittance solution powered by Unified Payments Interface (UPI) and the Universal Postal Union (UPU) Interconnection Platform.
The agreement was exchanged by LK Dash, Deputy Director General (International Relations and Global Business), DoP, and Ritesh Shukla, CEO of NIPL, at a ceremonial event in New Delhi.
Key Features of the Collaboration:
- Affordable Transfers: The integration of UPI with the global postal network is expected to drastically reduce transaction fees, making remittances more cost-effective for the Indian diaspora.
- Real-Time Processing: Leveraging UPI’s instant payment capability, beneficiaries in India will receive money in real time, providing a faster and more reliable channel than traditional bank transfers.
- Enhanced Security: Built on UPI’s robust security protocols and the trusted postal infrastructure, the system promises secure and fraud-resistant transactions.
- Financial Inclusion: By extending UPI’s reach through post offices, the system will bring digital financial services to underserved and remote regions in India.
“This collaboration aligns with our vision to provide affordable and accessible financial services for all,” said LK Dash of the Department of Posts. “By integrating the postal and digital payment ecosystems, we aim to simplify remittances and empower rural and semi-urban India.”
Ritesh Shukla, CEO of NIPL, noted, “This partnership strengthens UPI’s global footprint and creates a transformative remittance pathway that caters to millions of Indians abroad and their families back home.”
The initiative is part of India’s broader push to digitize financial infrastructure and enhance the ease of doing cross-border transactions, while boosting the convenience and efficiency of sending money home for overseas Indians.
