Page 59 - Mann Ki Baat - English, February,2023
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UPI for enabling real time inward countries, making it real-time,
and outward remittances is cost-effective, transparent on
an important service to the charges, and most importantly,
citizens of the country as well providing the access to most of
as the citizens of the world. the digital banking customers of
Currently, these transactions are both the countries, thus ticking
routed through Money Transfer the box for all objectives laid
Operators (MTOs), Bank Bi- out by G20 for cross-border
laterals and SWIFT – not the most remittance.
cost effective and optimal way of Owing to the success of UPI
receiving money. in India, many countries, apart
Based on the Remittance from having it as a payment
Prices Worldwide report of option, have shown intent to
September 2020, the global deploy the interface as their
average cost of remittances was payment systems. Deployment
6.75 % in Q3 2020. Making cross- of UPI can enable countries to
border remittances real-time have a self-sufficient, next-
by linking the payment systems gen and cost-efficient digital
available in both countries shall payment infrastructure, which
significantly bring down the can aid economic growth and
cost of inward and outward financial inclusion, without
remittances. This is also a stated any dependency on foreign
objective under the G20 agenda. standards that restrict merchant
The Government and the payment growth. While the
Reserve Bank of India have transparency in transactions can
taken several initiatives to take lead to better tax compliance, a
NPCI’s payments stack global. robust system like UPI can also
The India Stack Global website emerge as an enabler of fintech
www.indiastack.global was incubation for job creation
launched by the Hon’ble Prime and driving modernisation of
Minister in July 2022 to further the countries' economies. A
this initiative. The initiative will platform like UPI, with necessary
not only enable India to export regulations from the Central Bank,
software but also help Fintechs can truly transform the payment
from India to enable their landscape in the country.
businesses overseas. BHIM UPI India’s UPI and the Digital
QR has been available in several India initiative of the Prime
countries since long for P2M Minister have set an example for
payments. But the direct linkage the entire world of how significant
with the domestic payment changes can be brought by
system of Singapore is landmark leveraging digital technologies to
as it is going to change the way drive economic growth, improve
money is moved between two access to Government services,
and empower citizens.
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