India's UPI Goes Global: NPCI and Eurobank of Cyprus Sign MoU for Cross-Border Transactions

New Delhi (The Uttam Hindu): In a significant development, the National Payments Corporation of India (NPCI) and Eurobank of Cyprus have signed a memorandum of understanding (MoU) to introduce Unified Payments Interface (UPI) services in Cyprus, facilitating cross-border transactions for tourists and businesses.

This agreement was announced during Prime Minister Narendra Modi's visit to Cyprus, where he met with President Nikos Christodoulides. The two leaders discussed measures to enhance cooperation in trade and investment, with a focus on the financial sector.

In another significant development, the NSE International Exchange at Gujarat's Gift City signed an MoU with the Cyprus Stock Exchange to enable cross-border flows. This agreement is expected to benefit investors in Gift City, Cyprus and Europe.

According to Tanmaya Lal, Secretary (West) in the External Affairs Ministry, the UPI integration will enable easier cross-border payments between India and Cyprus. Lal highlighted Cyprus's strategic location, which can act as a gateway to Europe and the Mediterranean.

The visit also saw a business roundtable co-chaired by PM Modi and President Christodoulides, which outlined a roadmap for enhancing economic linkages between the two countries. The roundtable attracted business leaders from sectors such as banking, manufacturing, defense, logistics and technology.

Cyprus has emerged as one of the top 10 sources of foreign direct investment (FDI) for India, with cumulative inflows of $15 billion. The two-way trade between India and Cyprus was worth $137 million in 2023-24, with key Indian exports including pharmaceuticals, textiles, iron and steel, machinery, and chemicals.

The agreements signed during PM Modi's visit are expected to further strengthen economic ties between India and Cyprus, promoting trade, investment, and cross-border transactions.