NPCI International Payments Limited (NIPL) and the Central Reserve Bank of Peru (BCRP) have announced a partnership to deploy a UPI-like real-time payments system in Peru. This collaboration signifies a major milestone as Peru becomes the first country in South America to adopt the Unified Payments Interface (UPI) technology.
This strategic partnership aims to establish a reliable and efficient real-time payments platform within Peru. The new system will facilitate instant payments between individuals and businesses, reducing dependence on cash transactions and expanding digital payment usage among Peru’s large unbanked population.
“This strategic partnership empowers the BCRP to establish a reliable and efficient real-time payments platform within the country,” NPCI said in a release.
UPI’s collaborative and open banking ethos will enhance connectivity and interoperability with both domestic and international payment networks, fostering innovation and resilience in the Peruvian payment ecosystem.
Ritesh Shukla, CEO of NPCI International said, “Our partnership with the BCRP aims to strengthen Peru’s financial infrastructure to foster economic growth. We will be working together to address our common objective of promoting digital payments, financial inclusion, cost optimization, and transparency in the payment landscape, with scope for further scalability and adaptability to embrace future technological advancements and market demands. It also reflects on our commitment towards advancing digital public goods across the globe.”
Julio Velarde, Governor of the BCRP, highlighted the significance of this agreement, saying, “We believe this marks a significant step in strengthening and modernizing our payments system, aiming to expand access to digital payments in Peru. The support of the Reserve Bank of India has been a cornerstone of this agreement. The BCRP aims to promote financial inclusion, security, and efficiency, and to introduce new use cases in digital payments.”
“Additionally, we consider that this new infrastructure will play a fundamental role in fostering innovation and in allowing new participants to enter the Peruvian ecosystem. This will undoubtedly offer new and accessible payment services to everyone, especially the unbanked population in Peru, complementing the existing payments industry,” Velarde added.
