In an era of increasing globalization, the Unified Payments Interface (UPI) is making waves as a global payment platform, offering unparalleled convenience to Indian citizens abroad. In a move that significantly enhances the shopping experience for Indian travelers and expatriates in the United Arab Emirates (UAE), merchants across the country, including the retail giant Lulu, have begun accepting payments via UPI in Indian Rupees (INR). Which means all Rupay credit cards on UPI can also be supported for the payment.
UPI: A Global Payment Revolution
The Government of India has been actively promoting UPI as a global payment system, and the efforts are bearing fruit. With UPI now accepted in the UAE, Indian citizens can shop as seamlessly as they do back home, using the same apps and paying in their native currency. This system allows Indian tourists and Non-Resident Indians (NRIs) to make payments directly from their Indian bank accounts, with the amount being deducted in INR, eliminating the need for currency exchange and the associated hassles.
Major Retailers Embrace UPI
UAE Merchants Accept Rupee via UPI, One of the most notable developments in this rollout is Lulu Hypermart, one of the biggest retail companies in the UAE, is now offering UPI as a payment option across all its stores. This move is part of a broader trend, as both large and small merchants across the UAE begin to accept UPI payments. Since the launch of UPI in the UAE in early July, Indian shoppers have been able to pay using QR codes at Point of Sale (POS) machines, just as they would in India.
A Boost for Indian Travelers and the UAE Economy
The adoption of UPI in the UAE is set to benefit the nearly 5.3 million Indian tourists expected to visit the country by 2024. The seamless payment process encourages more Indians to shop and explore the local markets without worrying about exchange rates or carrying large amounts of cash. For the UAE, this influx of Indian shoppers, facilitated by the ease of UPI transactions, could provide a significant boost to the local economy.
UPI’s Global Footprint Expands
The acceptance of UPI in the UAE is part of a larger push by the Government of India, the Reserve Bank of India (RBI), and NPCI International to establish UPI as a global payment platform. UPI is already officially accepted in countries such as Nepal, Sri Lanka, Mauritius, Singapore, France, and Bhutan, and its growing acceptance in the UAE marks another milestone in its global expansion.
UPI’s success is reflected in its soaring transaction volumes. In July alone, UPI transactions surged 35% year-on-year, reaching ₹20.64 lakh crore, with the total transaction count increasing to 14.44 billion from 13.89 billion in the previous month. The average daily transaction volume now stands at 466 million, highlighting the system’s rapid adoption both domestically and internationally.
Conclusion
The ability to use UPI for payments in INR while shopping in the UAE is more than just a convenience—it’s a revolutionary step in cross-border financial transactions. As more UAE merchants embrace this system, Indian travelers can expect a more comfortable and familiar shopping experience, making their visits to the UAE more enjoyable and hassle-free.
This initiative not only strengthens the economic ties between India and the UAE but also showcases the power of Indian fintech innovations on the global stage. With UPI’s expanding global presence, the future of cross-border payments is set to become faster, more secure, and more integrated than ever before.
