GLOBAL GROWTH OF UPI AND RUPAY: SRI LANKA AND MAURITIUS

1. RuPay

1. 1. Origin: Developed by the National Payments Corporation of India (NPCI), RuPay is a homegrown card payment network.
   2. Usage: Functions across ATMs, Point of Sale (POS) terminals, and e-commerce platforms in India.
   3. Legal Framework: Established under the Payment and Settlement Systems Act, 2007, by the Reserve Bank of India (RBI) and the Indian Bank's Association (IBA).
   4. Card Variants: Offers diverse card types including Government scheme cards, Classic, Platinum, and Select for various customer segments.
   5. International Expansion: After being introduced in Nepal, Bhutan, Singapore, and the UAE, RuPay was launched in Mauritius, marking its first issuance in Africa.
   6. Local Issuance in Mauritius: Banks in Mauritius can issue local RuPay cards via the Mauritius Central Automated Switch (MauCAS) network.
   7. MauCAS Network: A modern digital payment hub operated by the Bank of Mauritius for efficient payment routing.

2. UPI

1. 1. Development: Created by the NPCI in 2016 as an instant, real-time payment system.
   2. Infrastructure: Built on the Immediate Payment Service (IMPS) allowing immediate money transfer between bank accounts.
   3. Functionality: Integrates various banking features, fund routing, and merchant payments in a single app.
   4. Usage Stats: In 2023, over 100 billion UPI transactions were recorded, totaling around Rs 2 lakh crores.
   5. Global Acceptance: UPI payments are accepted in countries including France, UAE, Mauritius, Sri Lanka, Singapore, Bhutan, and Nepal.

Benefits of RuPay and UPI for Users in Mauritius and Sri Lanka:

1. Simplified Transactions:

1. 1. Enables easy transactions locally and globally.
   2. Allows seamless payments for travelers across India, Mauritius, and Sri Lanka, avoiding the hassles of currency exchange.

2. Wider Financial Reach:

1. 1. RuPay cards usable at ATMs and POS terminals enhance digital payment reach in Mauritius.
   2. In Sri Lanka, UPI enables QR code-based payments, offering an easy alternative to cash.

3. Boosting Financial Inclusion:

1. 1. Access to RuPay and UPI supports participation in the digital economy across various socio-economic groups.
   2. UPI's cost-effectiveness lowers transaction costs, making financial services more accessible.

4. Economic Integration:

1. 1. Facilitates trade and tourism, strengthening economic links between India, Mauritius, and Sri Lanka.
   2. Encourages cashless payments, supporting local businesses and promoting financial transparency.

5. Technological Progress:

1. 1. Marks a step towards digital innovation, aligning Mauritius and Sri Lanka with modern financial technologies.
   2. Advanced payment systems provide users with efficient and secure financial management tools.

UPI’s path of Global Growth

1. Nature of Organization:

1. 1. Serves as the central entity managing retail payments and settlement systems within India.

2. Founding Entities:

1. 1. Established through a collaborative initiative by the Reserve Bank of India (RBI) and the Indian Banks' Association (IBA).

3. Legislative Basis:

1. 1. Created under the Payment and Settlement Systems Act, 2007, aimed at developing a strong Payment & Settlement Infrastructure in the country.

4. Organizational Structure:

1. 1. Operates as a "Not for Profit" entity, structured in accordance with Section 8 of the Companies Act, 2013 (previously under Section 25 of the Companies Act, 1956).