India's Unified Payments Interface (UPI) will become operational in Cyprus starting next year [1, 2].
This expansion facilitates easier cross-border financial transactions for travelers and businesses. By integrating the digital payment system, India seeks to reduce reliance on traditional banking corridors and simplify the movement of funds between the two nations.
Sibi George, Secretary (West) of India's Ministry of External Affairs, said the development occurred during recent discussions [1, 2]. The move follows a Memorandum of Understanding signed between NPCI International Payments Limited and Eurobank Cyprus [2]. This agreement establishes the technical and legal framework necessary to allow UPI-enabled transactions within the Cypriot financial ecosystem [2].
"One of the important elements (of the talks), the UPI will be operational in Cyprus ..." George said [1].
The rollout is part of a broader strategy by the National Payments Corporation of India to export its financial technology to international markets. This allows Indian citizens to make payments in foreign currencies using their existing UPI apps without needing local bank accounts or traditional credit cards in every destination.
Cyprus serves as a strategic point for this expansion in the Mediterranean region. The partnership with Eurobank Cyprus ensures that the digital infrastructure can handle the volume of cross-border payments, while adhering to local regulatory standards [2].
“The UPI will be operational in Cyprus”
The expansion of UPI into Cyprus represents a shift toward the globalization of India's domestic payment infrastructure. By bypassing traditional SWIFT-based systems for retail payments, India is creating a more direct financial link with European markets, potentially increasing tourism and bilateral trade efficiency.
