UPI to Become Operational in Seychelles

The Unified Payments Interface (UPI) is targeted to become operational in Seychelles by the end of 2026. India and Seychelles signed a Memorandum of Understanding (MoU) for UPI implementation during Prime Minister Narendra Modi’s state visit to Seychelles, which concluded on 29 June 2026.

Unified Payments Interface

UPI is an instant digital payment system developed in India for bank-to-bank transfers through mobile applications. The system is operated by the National Payments Corporation of India (NPCI) under the regulatory framework of the Reserve Bank of India.

India-Seychelles Payment Agreement

The UPI MoU was signed between NPCI and the Central Bank of Seychelles. The agreement covers the technical and institutional steps needed for UPI acceptance in Seychelles and is intended to support cashless transactions for Indian tourists.

Bilateral Cooperation Package

The UPI agreement formed part of a wider set of bilateral arrangements between India and Seychelles. The package covered health, education, capacity building, digital transformation, sustainable development, and maritime security.

Important Facts for Exams

• UPI was launched in India in 2016 and became one of the largest real-time payment systems in the world.
• NPCI is the umbrella organisation for retail payment systems in India.
• Seychelles is an island country in the western Indian Ocean and is a member of the African Union.
• India has expanded UPI-linked digital payment arrangements with Singapore, the United Arab Emirates, France, Mauritius, and Sri Lanka.

Development Assistance

India also extended an umbrella line of credit worth ₹1,250 crore to Seychelles for priority development projects. The line of credit is part of India’s development cooperation framework with Indian Ocean partners.