The Reserve Bank of India said that the process of interlinking UPI with the Eurosystem’s TARGET Instant Payment Settlement (TIPS) is in progress. The central bank added that it will continue to collaborate closely with the European Central Bank to operationalise cross-border remittances.
“Following constructive and sustained engagement, both sides have agreed to start the realisation phase for the UPI–TIPS link,” RBI said in a statement. The bank added that the proposed UPI–TIPS interlinkage aims to facilitate cross-border remittances between India and the Euro Area, and is expected to benefit users of both jurisdictions.
What is the proposal
The Reserve Bank of India and NPCI International Payments Limited are collaborating with the European Central Bank on an initiative to connect UPI with TIPS, the instant payment system operated by the Eurosystem.
These initiatives align with the G20 Roadmap for enhancing cross-border payments, focusing on cheaper, more efficient, transparent, and accessible remittances.
UPI interlinking with other nations
Besides Europe, RBI has been actively pursuing the interlinking of the Unified Payments Interface with the fast payment systems of other jurisdictions to promote cross-border payments.
