Digital India and its UPI payment linkage with Singapore
                     Digital India and its UPI payment linkage  
with Singapore
India’s digital identity a
business  opportunity for Singapore
Until a decade ago buying anything without the use of cash was a foreign 
idea. The  growing usage of smartphones, and accessibility to the 
internet, boosted this  revolutionary change and led to a digital 
transformation across the globe.
Today, digital payments have become a common proactive worldwide. 
Every  country has taken a 180-degree turn towards cashless transactions 
from the  traditional cash-dependent economy. India quickly embraced 
this development and  has surpassed the number of cash transactions 
with easy and secure digital  payment methods. These digital methods 
are now accepted across the country as
the primary method to perform any financial transaction. surpassing the 
number of  cash transactions.
The growth of digital payments in India
India’s focus on digitalization is evident from its Digital India program. It 
promises  high-speed Internet, mobile phones, and bank accounts to 
every citizen, ensuring  real-time services from online and mobile 
platforms. This is in line with the aim of  making financial transactions 
electronic and cashless and spreading digital literacy  in India. Further 
efforts of the Digital India program boosted the country to achieve  the “
Faceless, Paperless, Cashless” status and to provide the facility of 
seamless  digital payment in an easy, convenient, quick, and secure 
manner.
In fact, a transformation is underway in the fintech and banking sector 
with the  Unified Payments Interface (UPI) processing more than $ 1 
trillion dollars payments  in the financial year 2022. The UPI India 
payments crossed the monthly milestone  of 5 billion transactions in 
March 2022. Options like Bharat Interface for  Money-Unified Payments 
Interface (BHIM-UPI), pre-paid payment instruments  (PPIs), Immediate 
Payment Service (IMPS), and National Electronic Toll Collection  (NETC) 
system have led to substantial growth of the digital India platform and  
increased the Person-to-Person (P2P) and Person-to-Merchant (P2M) 
payments.
The pre-existing payment modes such as NEFT, RTGS, debit cards, and 
credit  cards have also picked up their speed in the banking and finance 
sectors. Such an  exponential growth of UPI India gateways has created a 
robust digital finance  ecosystem in India.
Digital India and changing market trends
The digital revolution in India has not only boosted UPI India gateways but 
also  digitized business in various sectors such as e-commerce, fintech, 
travel, and so  on. It has paved way for International business 
collaborations and led to the growth  of the Online Platform Economy 
(OPE). It has changed the nature of work and the  way we do business in 
the International market.
With attractive FDI policies, investment policies, and incentives India has 
become a  choice destination for doing business. Unique strengths like a 
dynamic business  ecosystem, availability of skilled human capital, and 
increasing technological  capabilities have positioned India for higher 
growth.
Are India UPI payment systems going global?
India’s digital identity in the world presents a clear opportunity for 
business for  many countries. The international unit of the National 
Payments Corporation of  India (NPCI) signed a string of deals with foreign 
companies and central banks. For  instance, its partnership with the 
European payment services facilitator Worldline  will allow Indian travelers 
to carry out cashless transactions through UPI across  Europe. Another 
success story of India’s digital economy was the adoption of  India’s 
interoperable real-time digital payments model by Nepal that bolstered 
the  person-to-person and merchant payment transactions.
Singapore also capitalized on this opportunity and invested in India’s 
digital  economy. On February 2023, everyone was caught up with the 
latest digital  business venture between Singapore and India. India’s 
Unified Payments Interface  (UPI) and Singapore’s PayNow are now 
officially connected allowing for “real-time  payment linkage”. This 
payment system allows users of both countries especially  migrants and 
workers to make low-cost fund transfers without involving any other  
payment system.
The UPI-PayNow linkage is a significant milestone in the India-Singapore  
friendship and in line with the G20’s financial inclusion priorities of 
developing  quick, affordable, and transparent cross-border payments.
India’s digital economy: A key growth area for Singapore
The transformation of revolutionary digital India business shows the scale 
on which  business expansion is possible. It is evident that with the growth 
of this digital  ecosystem through digital services, applications, 
platforms, and software, setting  up a business in India today can be a 
roaring success.
Singapore is one of the largest foreign investors and has numerous 
ventures in the  Indian market. Singapore’s growing interest in India’s 
digital payment landscape  added new momentum to the Strategic 
India-Singapore partnership.
Doing business in India is easier than you think. It is no longer a 
mammoth task but  a journey bubbling with opportunities due to 
globalization, digitization, government  support, and the availability of a 
knowledgeable workforce. It pushed many small  and medium-sized 
enterprises around the world to take advantage of the Indian  market and 
attain the desired level of inclusive growth in India.