The National Payments Corporation of India (NPCI) has been expanding UPI’s reach beyond India, making seamless digital payments possible in multiple countries. Since its first international collaboration with Singapore in 2020, UPI is now accepted in Singapore, the United Arab Emirates, Sri Lanka, Mauritius, Bhutan, Nepal, and France.
Seamless Payments Abroad
Travelers from India can now use UPI for payments just as easily as they do at home. Many businesses in these countries display QR codes with the UPI logo, allowing users to make instant payments. Enabling UPI International is a simple process that can be done through supported banking apps. Once activated, users can scan a QR code, enter their passcode, and complete transactions in real time.
Currency Conversion and Transaction Fees
When making payments through UPI International, the app displays the currency conversion rate and any applicable bank charges. Most banks charge a foreign exchange conversion fee ranging from 2.5% to 2.95%, which is comparable to or even lower than fees associated with international debit or credit card transactions.
Avoid the Hassle of Cash Exchange
UPI International eliminates the need to exchange currency or carry cash. Payments are processed instantly without worrying about receiving the correct change. The daily transaction limit for international UPI payments is typically ₹1 lakh, though limits may vary between banks.
Comparison with Other Payment Methods
- Credit and Debit Cards: International transactions typically incur fees ranging from 2% to 4%. Some credit cards offer cashback or reward points that may help offset these charges.
- Forex Cards: Banks like Axis Bank and platforms like BookMyForex offer forex cards with zero forex markup, but these cards may have limited acceptance in certain countries.
UPI International provides Indian travelers with a seamless, cost-effective payment method that simplifies spending abroad. With its growing acceptance, it is becoming an essential tool for hassle-free international travel.