In a significant development for Non-Resident Indians (NRIs), the Unified Payments Interface (UPI) now allows seamless transactions in India using international mobile numbers. Initially pioneered by IDFC FIRST Bank and rapidly adopted by major players like SBI, ICICI, HDFC, and Axis, this feature eliminates the need for an Indian SIM card, empowering NRIs across the globe to manage their finances with ease. As the Raksha Bandhan festival approaches, this innovation offers a timely way for NRIs to celebrate with loved ones back home, whether by sending money instantly or shopping for gifts online. Here’s how this works and why it’s a big deal for the NRI community.
UPI Goes Global: How It Works for NRIs
UPI, India’s real-time payment system, enables instant bank-to-bank transfers via mobile devices. Previously restricted to Indian mobile numbers, UPI is now accessible to NRIs with NRE (Non-Resident External) or NRO (Non-Resident Ordinary) accounts in 12 countries: Australia, Canada, France, Hong Kong, Malaysia, Oman, Qatar, Saudi Arabia, Singapore, United Arab Emirates, United Kingdom, and United States. By linking their international mobile numbers to these accounts, NRIs can create a UPI ID and PIN through their bank’s app and start transacting on platforms like Google Pay, PhonePe, or Paytm.
The setup is straightforward: log into your bank’s mobile app, register your international number, and follow the prompts. For a step-by-step guide, check out our earlier article: UPI Goes Global: NRIs Can Now Use International SIMs for Instant Payments.
Key Benefits for NRIs
- No Indian SIM Needed: Use your local international number, no more maintaining an Indian line.
- Zero Fees: Most banks offer fee-free UPI transactions from NRE/NRO accounts in INR.
- Instant Transfers: Send money or make payments in real time, anytime.
- Versatility: Pay bills, shop online, or transfer funds to family and merchants in India.
Ashish Singh, Head of Retail Liabilities at IDFC FIRST Bank, captures the essence of this move: “Our vision has always been to simplify and enhance banking, making it accessible no matter where our customers are located… a testament to our commitment to innovation and catering to the unique needs of the NRI diaspora.” With India receiving a record $135.46 billion in remittances last year, as reported by NRI News Club, this feature promises to make such transactions faster and more cost-effective.
Rakhi Made Simple: UPI Brings Families Closer
The upcoming Rakhi festival, a celebration of sibling bonds, is the perfect occasion for NRIs to leverage UPI’s new capabilities. For NRIs, distance often complicates this exchange, but not anymore. With UPI, NRIs can:
- Send Money Instantly: Transfer funds to siblings or parents in seconds for festive shopping, sweets, clothes, or gifts.
- Shop Online for Rakhi Gifts: Use UPI to buy from Indian e-commerce sites like Amazon India or Flipkart, which accept UPI payments, and have gifts delivered directly to family in India.
Imagine ordering a traditional Rakhi or a box of laddoos from abroad with just a few taps, all paid for via UPI using your international number. It’s a modern twist on a timeless tradition, ensuring NRIs remain part of the celebration despite the miles.
A Bonus for Families in India: UPI on US E-Commerce Sites
While NRIs enjoy UPI for transactions within India, their families back home can tap into its growing global reach. Through fintech solutions like PayWorld, Indians in India can now use UPI to pay on select US-based e-commerce websites, transacting in INR without currency conversion hassles. This opens up access to international products, think gadgets, fashion, or unique festive items, right from the comfort of home. NRIs can share this tip with their relatives, perhaps suggesting they use UPI funds sent from abroad to shop for something special this Rakhi season.
Things to Keep in Mind
While UPI is a game-changer, here are a few pointers for NRIs:
- Transaction Limits: Most banks cap UPI transactions at ₹1 lakh (~$1,200) per day, verify with your bank.
- Usage Scope: Ideal for peer-to-peer transfers, bill payments, and merchant purchases within India; some restrictions may apply for investments.
- Safety First: Use official apps, never share your UPI PIN, and double-check recipient details to avoid scams.
Contact your bank for specific terms and conditions to ensure a smooth experience.
Conclusion: A Festive Connection Powered by Technology
The expansion of UPI to international numbers is more than a technical upgrade, it’s a bridge for NRIs to stay connected to India, especially during festivals like Rakhi. Whether you’re sending love in the form of money or gifts, UPI makes it quick, secure, and free. As India’s fintech revolution marches on, there’s no better time to embrace this tool and celebrate traditions in a modern way.
Have you tried UPI with your international number yet? Share your story with us on Reddit and X or reach out to your bank to get started today!
