NIPL Expands UPI Transactions to Malaysia

NPCI International Payments Limited (NIPL), the international arm of the National Payments Corporation of India (NPCI) partnered with Razorpay Curlec to enable UPI-based payments in Malaysia. The partnership was announced during the Global Fintech Fest (GFF) 2025, marking another milestone in India’s fintech globalization journey.

About the Initiative

  • The partnership will allow Indian travelers in Malaysia to make instant, secure payments at local merchant outlets directly through their UPI-enabled apps (like BHIM, PhonePe, Paytm, Google Pay, etc.).
  • Malaysian merchants using Razorpay Curlec’s platform can now accept payments settled in local currency (Malaysian Ringgit – RM).
  • This integration expands the cross-border digital payment ecosystem, reducing dependence on cash, minimizing foreign exchange costs, and improving payment convenience for both travelers and businesses.

Need and Significance

  • Over 1 million Indian tourists visited Malaysia in 2024, spending over ₹110 billion (a 72% rise from the previous year).
  • The rise in India–Malaysia travel and trade connectivity created demand for frictionless digital transactions.
  • The UPI–Malaysia linkage enhances ease of doing business, financial inclusion, and tourism spending efficiency.

Impact

AspectImpact / Benefit
For Indian TravellersMake UPI payments abroad as easily as in India.
For Malaysian MerchantsGain access to millions of Indian customers, with local settlement in ringgit.
For Fintech SectorPromotes interoperable, real-time, cross-border payments.
For IndiaEnhances India’s global influence in digital public infrastructure (DPI) and fintech diplomacy.

UPI’s Global Footprint (as of 2025)

India’s Unified Payments Interface (UPI) has become a global benchmark for real-time retail payments and interoperability.

Countries Where UPI is Accepted:

  • Asia: Bhutan, Nepal, Singapore, Sri Lanka, Malaysia, Thailand, Philippines, Vietnam, Cambodia, South Korea, Japan, Taiwan, Hong Kong.
  •  Europe: France, Cyprus.
  • Middle East: Oman, Qatar, UAE.
  • Africa: Mauritius.

Malaysia joins this growing list, strengthening UPI’s presence in Southeast Asia.

About Unified Payments Interface (UPI)

FeatureDetails
Launched ByNational Payments Corporation of India (NPCI) in 2016, with 21 member banks
FunctionEnables real-time interbank transfers via mobile apps using VPA (Virtual Payment Address)
Apps Using UPIBHIM, Google Pay, Paytm, PhonePe, Amazon Pay, etc.
Monthly Transactions (2025)Nearly 20 billion transactions (September 2025)
Core FeaturesInstant fund transfer, interoperability across banks, secure and 24×7 availability
Layer in India Stack (DPI)Part of the Payments Layer of Digital Public Infrastructure (DPI)

About NPCI International Payments Limited (NIPL)

ParameterDetails
Established3rd April 2020
Parent BodyNational Payments Corporation of India (NPCI)
ObjectiveInternationalisation of India’s payment systems — UPI and RuPay
HeadquartersMumbai, Maharashtra
MissionTo deploy India’s payment innovations globally and support emerging economies in building Digital Public Infrastructure
Key Partnerships (2024–2025)Singapore (PayNow), UAE (Mashreq), France (Lyra), Namibia (Bank of Namibia), Malaysia (Razorpay Curlec)

Internationalisation of UPI

InitiativeDescription
UPI One WorldIntroduced to allow foreign nationals and NRIs from G20 countries to make UPI payments while in India through a prepaid instrument.
UPI–PayNow LinkageEnabled seamless cross-border transactions between India and Singapore (2023).
NIPL–Bank of Namibia MoU (2025)To establish a real-time payments system similar to UPI for financial inclusion.
UPI Acceptance ExpansionIn partnership with international fintechs and banks for acceptance across Asia, the Middle East, Africa, and Europe.

Significance of UPI’s Global Expansion

Fintech Diplomacy:

  • Promotes India’s soft power by positioning UPI as a Digital Public Good (DPG).

Economic Integration:

  • Facilitates faster, cheaper cross-border payments, enhancing trade and tourism.

Standardization & Interoperability:

  • Encourages other countries to adopt India’s DPI framework for payments.

Revenue and Inclusion:

  • Opens global business opportunities for Indian fintech startups and banks.

Remittance Efficiency:

  •  Reduces costs of remittances for NRIs and cross-border workers.

UPI in Global Governance Context

India’s G20 Digital Initiatives (2023–2025)Relevance
Global Digital Public Infrastructure (DPI) RepositoryRepository of open-source digital systems, including UPI, Aadhaar, and DigiLocker.
Social Impact Fund for DPI in Global SouthTo finance digital public goods in developing nations.
UPI as DPI ModelServes as a template for low-cost, scalable, and inclusive fintech solutions globally.

Key Facts

TopicStatic Information
National Payments Corporation of India (NPCI)Established in 2008 as an initiative of RBI and IBA (Indian Banks’ Association) under Payment and Settlement Systems Act, 2007.
Key Products by NPCIUPI, RuPay, FASTag, NACH, AePS, IMPS, Bharat BillPay.
Razorpay CurlecA Malaysian payment gateway firm owned by Razorpay India, enabling recurring and instant payments in Southeast Asia.
Global Fintech Fest (GFF)Annual fintech event co-organized by NPCI, Payment Council of India (PCI), and Fintech Convergence Council (FCC).
Malaysia’s CurrencyRinggit (MYR or RM)
Central Bank of MalaysiaBank Negara Malaysia (BNM)
India–Malaysia RelationsEstablished in 1957; Malaysia is one of India’s top ASEAN trading partners.
Recent India–Malaysia MoUsCooperation in digital payments, palm oil trade, and higher education exchanges.

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