Cross-Border Digital Payments: India–Malaysia | 20 Feb 2026

Why in News?

NPCI International Payments Ltd (NIPL) has signed an agreement with Payments Network Malaysia Sdn Bhd (PayNet) — the national payments network of Malaysia — to enable seamless QR‑based merchant payments between India and Malaysia.

Key Points:

• Partnership: NPCI International and PayNet have entered a strategic agreement to link India’s Unified Payments Interface (UPI) with Malaysia’s DuitNow QR payment system. 
• Phased Rollout: The initiative will be rolled out in two phases:
  • Phase I: Indian travellers in Malaysia can use their UPI‑enabled apps to scan DuitNow QR codes at merchant locations for seamless payments.
  • Phase II: Malaysian visitors to India will be able to scan UPI QR codes to make payments using their DuitNow‑enabled apps once the integration is further expanded. 
• Coverage: Indian tourists will gain access to millions of DuitNow QR acceptance points in Malaysia, including restaurants, retail outlets, and tourist attractions. 
  • Similarly, Malaysian visitors will benefit from acceptance at millions of UPI QR‑enabled merchant locations across India.
• Payment Infrastructure: DuitNow QR is Malaysia’s national QR payment standard operated by PayNet, while UPI is India’s real‑time digital payments interface. 
  • Linking these systems creates interoperable infrastructure for cross‑border merchant payments without requiring foreign cards or complex currency exchange procedures. 
• Strategic Vision: NPCI International’s collaboration with PayNet is part of India’s broader strategy to expand UPI’s international footprint and build interoperable real‑time payment ecosystems globally, under the guidance of the Government of India and the Reserve Bank of India.