Indian immigrants can now pay merchants with Rupee in UAE
Unified Payments Interface (UPI), a real-time payment system developed by the National Payments Corporation of India (NPCI), is now making it easy for Indian nationals residing or visiting the United Arabic Emirate (UAE) to pay merchants in Rupee (₹ INR) in the country.
The government of India has been promoting UPI as a global payment platform. The Unified Payments Interface (UPI) is a real-time payment system developed by the National Payments Corporation of India (NPCI) that allows users to instantly transfer money between bank accounts using a mobile device.
UPI enables seamless, quick, and secure transactions without the need to enter bank details or IFSC codes each time. Instead, users can make payments using a unique UPI ID, mobile number, or QR code. It supports various financial services such as bill payments, peer-to-peer transfers, and online shopping, making it a popular digital payment method in India.
Now, following the India's Government promotion of the Unified Payments Interface (UPI) as a global payment platform, merchants in the UAE are now accepting payments via the UPI to attract Indian customers. Lulu, one of the largest retail companies in the UAE, is now offers customers the option to make payments via UPI at all its stores in the country. The UPI payments are now accepted by both large and small merchants, including Lulu stores nationwide.
Indian citizens and NRIs can now easily make payments in the UAE using the UPI app, with the amount deducted from their Indian bank accounts. The UPI payments, launched in the UAE in early July, are accepted by both large and small merchants, including Lulu stores.
How the UPI works for Indians in UAE
UPI payments for Indians in the UAE work seamlessly, allowing Indian citizens and NRIs to make payments just as they would in India. The process is simple: they use the UPI app on their mobile phones to scan QR codes at Point of Sale (POS) machines in stores. The amount is then deducted directly from their bank accounts in India.
Since UPI's launch in the UAE in early July, many merchants, including large retailers like Lulu, have started accepting payments through UPI. This integration is part of a broader effort by the Government of India, the Reserve Bank of India (RBI), and NPCI International to promote UPI globally. As a result, UPI is now officially accepted in several countries, including Nepal, Sri Lanka, Mauritius, Singapore, France, and Bhutan.
The popularity of UPI continues to grow, with transaction volumes surging both in India and internationally. In July alone, UPI-based transactions in India reached Rs 20.64 lakh crore, with an average of 466 million transactions per day. This expansion means that Indian travelers and residents in the UAE can conveniently shop and conduct financial transactions using UPI, making cross-border payments easier and more efficient.
What is a UPI ID?
A UPI ID, or Unified Payments Interface ID, is a unique virtual identifier that simplifies digital payments in India. It acts as a virtual payment address, linking a user's bank account to the UPI payment system. This linkage allows users to transfer money easily without needing to share sensitive banking details like account numbers or IFSC codes.
The UPI ID generally follows a format such as `yourname@bankname`, where "yourname" could be a person's name, email, or mobile number, and "bankname" represents the specific bank associated with the ID. For instance, a UPI ID might appear as `rajesh.jain@bank` or `90876543@okicici`, making it easy to remember and use for transactions.
One of the significant advantages of using a UPI ID is its simplicity and security. Users can send and receive money just by sharing their UPI ID, making transactions quick and straightforward. Additionally, since the UPI ID does not reveal sensitive banking information, it enhances security during transactions. The convenience of UPI IDs also allows users to make instant payments through various UPI-enabled apps like Google Pay, PhonePe, and PayTM, promoting a cashless economy.
To create a UPI ID, users typically need to download a UPI-enabled app, verify their mobile number, and link their bank account. The UPI ID is then available in the app's profile section. This ID plays a crucial role in facilitating efficient and secure digital transactions across India, streamlining the payment process for millions of users.
