NPCI International Payments Limited (NIPL), the global division of the National Payments Corporation of India, has teamed up with ACLEDA Bank Plc. to introduce Unified Payments Interface (UPI) acceptance in Cambodia. The partnership was officially inaugurated in Phnom Penh, with the presence of Chea Serey, the Governor of the National Bank of Cambodia, and representatives from the Reserve Bank of India (RBI). This collaboration marks the first phase of establishing a cross-border QR payment connection between the two countries using Cambodia’s national QR code, Bakong’s KHQR.
The initial phase allows Indian travelers to conduct QR payments at over 4.5 million Cambodian merchants, with plans for a two-way corridor in the future. While the current focus is on incoming Indian travelers, the partnership aims for further expansion. In the upcoming phase, the corridor will facilitate bi-directional transactions, enabling Cambodian visitors in India to utilize their local banking and digital payment apps to scan UPI QR codes across the country, creating a comprehensive financial network through Bakong’s KHQR.
This digital payment corridor signifies a significant transformation in cross-border commerce between India and Cambodia, enhancing traveler convenience by eliminating the need for physical currency exchange, carrying large sums of cash, or dealing with unfamiliar foreign exchange charges. Moreover, it will provide a financial boost to Cambodian businesses by granting them access to a large Indian visitor base, leading to increased transaction volumes. Local merchants will benefit from streamlined cash management, reduced costs related to physical cash handling, and secure, real-time transaction settlements.
Currently operational in eight countries, including Singapore, the United Arab Emirates, and Sri Lanka, UPI allows Indian travelers to make seamless payments abroad through familiar platforms. With Cambodia becoming the ninth country to join this list, the expansion of UPI acceptance abroad continues to grow, offering convenience and familiarity to Indian travelers globally.
