NPCI and HSBC India announce strategic partnership for real-time forex settlement
The National Payments Corporation of India (NPCI) has entered into a strategic partnership with HSBC India to provide real-time foreign exchange (FX) settlement for cross-border transactions. This collaboration aims to streamline international UPI payments for Indian travellers overseas, making the process more seamless and transparent.
According to an NPCI release, UPI is currently operational in nine countries: Singapore, the United Arab Emirates, Nepal, Bhutan, Mauritius, France, Sri Lanka, Qatar, and Cambodia. This allows Indian travellers to make QR code-based payments directly from their Indian bank accounts in Indian Rupees (INR).
How the partnership enhances international UPI transactions
Building on UPI's growing international footprint, the partnership with HSBC India will bring real-time FX pricing and greater transparency to international UPI transactions. Under this collaboration, HSBC India will serve as the banking partner, providing real-time FX rates via a direct API integration. This enables customers to see the exact INR amount they will pay at the point of transaction when making purchases abroad.
The solution will allow international merchants and financial institutions to receive funds in their local currencies while simplifying the end-to-end settlement process, the release said.
NPCI spokesperson highlights benefits for users
An NPCI spokesperson stated, “Our collaboration with HSBC represents an important step toward enabling efficient forex conversion and real-time settlement for cross-border transactions, delivering transparent payment experiences for users. This partnership will further enhance the convenience of international payments while supporting the growing global acceptance of India's digital public infrastructure.”
The API-enabled infrastructure, supported by HSBC India's global payments capabilities and extensive international network, will enable secure, 24x7 cross-border payments. This makes international UPI transactions faster, more transparent, and more convenient for users and ecosystem participants across markets.
NPCI's role in expanding UPI globally
NPCI, the umbrella organisation for retail payments in India established by the Reserve Bank of India (RBI) and the Indian Banks' Association, has been expanding the global reach of UPI as part of India's digital public infrastructure strategy. Its payments portfolio includes UPI, RuPay, IMPS, NACH, NETC, AePS, and e-RUPI.
