The National Payment Corporation of India (NPCI) and the Namibian Central Bank have agreed to collaborate on implementing Unified Payments Interface (UPI).
The Ministry of External Affairs confirmed that a licensing agreement has been signed between India and Namibia, paving the way for the deployment of UPI in Namibia. This move heralds a new era of cooperation in the digital financial sector.
Modernizing Financial Infrastructure
The partnership between NPCI International Payments Limited (NIPL) and the Bank of Namibia (BoN) aims to enhance Namibia’s financial systems by adopting India’s UPI technology. This collaboration is expected to facilitate the development of a real-time payment system, boost digital finance services, and foster greater economic inclusion and growth.
By enabling individuals and merchants to transfer funds more swiftly through digitization, the initiative seeks to revolutionize financial transactions in Namibia. UPI is a real-time payment solution developed by NPCI, an organization under both the Reserve Bank of India and the Indian Banks’ Association.
This partnership represents the first time NPCI International has partnered with a central bank to deploy the UPI Stack in another country. The move signifies a significant step towards expanding UPI’s reach globally.
Enhancing Interoperability
In line with this collaboration, NPCI recently issued an addendum to its previous circular regarding the Numerci UPI ID service. The update introduces new guidelines aimed at increasing interoperability and improving client experiences for UPI number-based payments.
Starting from April 1st, 2025, these new rules require all UPI member banks, UPI apps, and third-party app providers to adhere to the updated guidelines. Specifically, UPI IDs linked to dormant mobile numbers will be deactivated if those numbers have remained inactive for a longer period.
This ensures that only active and current numbers remain registered with banks, thereby enhancing user experience and security in digital payments.
