What is the aim of the integration between India's UPI and Nepal's NPI as per the pact signed by RBI and Nepal Rastra Bank?

Solution

•     Reserve Bank of India (RBI) and Nepal Rastra Bank (NRB) signed and exchanged Terms of Reference (ToR) to integrate fast payment systems of India and Nepal through Unified Payments Interface (UPI) of India and National Payments Interface (NPI) of Nepal. •     The integration is aimed at facilitating cross-border remittances between India and Nepal by enabling users of the two systems to make instant, low-cost fund transfers. •     The collaboration between India and Nepal in linking their fast payment systems through the UPI-NPI linkage would further deepen financial connectivity and “reinforce the enduring historical, cultural, and economic ties between the two countries. Learn Along: About UPI •     Unified Payments Interface (UPI) is a system that powers multiple bank accounts into a single mobile application (of any participating bank), merging several banking features, seamless fund routing & merchant payments into one hood. •     It also caters to the “Peer to Peer” collect request which can be scheduled and paid as per requirement and convenience. •     NPCI conducted a pilot launch with 21 member banks. The pilot launch was on 11th April 2016 by Dr. Raghuram G Rajan, Governor, RBI at Mumbai. About RBI Founded: 1 April 1935                                 Headquarters: Mumbai                                 Governor: Shaktikanta Das