UPI-Pay Now SG Linkage enables Users to receive funds from Singapore through these Major UPI Apps

Major UPI apps such as BHIM, PhonePe, and Paytm are now equipped to receive swift and secure remittances from Singapore through the UPI-Pay Now linkage. This transformative cross-border collaboration ensures instant, cost-effective transactions, benefiting the Indian diaspora. Users of leading banks, including Axis Bank, DBS Bank India, , Indian Bank, Indian Overseas Bank, and State Bank of India, can also leverage this innovative feature through their respective apps.

More Third-Party Application Providers (TPAPs) and banks like Bank of Baroda, Bank of India, , HDFC Bank, and others are expected to join the linkage, offering users a broader spectrum of choices. 1. Instant Transactions: Funds are transferred in real-time, reaching the recipient’s bank account within seconds, providing unparalleled speed and convenience.

2. Robust Security: The UPI-PayNow linkage employs robust security protocols, ensuring that every transaction is safe and reliable. 3.

Cost-Effective: Competitive transaction fees make this service ideal for small and frequent remittances, addressing the financial needs of a diverse user base. 4. 24/7 Accessibility: This facility operates round the clock, 365 days a year, providing users with unparalleled convenience and accessibility.

This significant interoperability achievement is the result of a close collaboration between the Reserve Bank of India (RBI) and the Monetary Authority of Singapore (MAS). The increasing adoption of UPI in cross-border transactions not only fosters financial inclusion and convenience but also plays a pivotal role in propelling India’s dynamic digital payment ecosystem. The National Payments Corporation of India (NPCI) has been a driving force in transforming India into a digital economy since its incorporation in 2008.

NPCI’s robust payment infrastructure, including products such as RuPay card, IMPS, UPI, BHIM, Aadhaar Enabled Payment System (AePS), NETC, and Bharat BillPay, has revolutionized the payment landscape in the country. With a focus on innovation and technology, NPCI continues to work towards achieving India’s vision of becoming a fully digital society. India, with a diaspora exceeding 30 million, received $87 billion in remittances in 2021.

Historically, challenges such as time zone differences, high conversion costs, compliance checks, delays, and uncertainty were rampant. The evolution of UPI Cross-Border Real-Time Payments addresses these challenges by prioritizing customer needs such as cost-effectiveness, compliance, speed, and interoperability. The UPI-PayNow linkage provides a convenient, real-time, secure, and cost-effective means for customers of participating Banks and Non-Bank Financial Institutions (NFIs) to transfer funds across borders.

Indian UPI users can send money to PayNow users in Singapore, and vice versa, using mobile numbers or Virtual Payment Addresses (VPAs). This linkage ensures a seamless and efficient cross-border fund transfer experience. PayNow SG, a peer-to-peer funds transfer service in Singapore, enhances the funds transfer experience by allowing customers to send and receive Singapore dollars instantly, using just a mobile number or Virtual Payment Address (VPA).

This eliminates the need for the sender to know the recipient’s bank account details. Axis Bank DBS Bank India ICICI Bank Indian Bank Indian Overseas Bank State Bank of India DBS Bank Singapore Liquid Group To understand the UPI-PayNow linkage in-depth and know its benefits, visit the website. © 2020 Taxscan © 2020 Taxscan.