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The Central Bank of the Republic of Peru (BCRP) will create a system similar to India’s Unified Payments Interface (UPI) under an agreement with the National Payments Corporation of India International Payments (NIPL). The Reserve Bank of India (RBI), which co-founded the National Payments Corporation, collaborated with the BCRP in the deal.
The new system will <a href="https://www.prnewswire.com/news-releases/npci-international-and-the-central-reserve-bank-of-peru-partner-to-develop-upi-like-real-time-payments-system-in-peru-302164732.html" target="_blank" rel="noopener nofollow">promote</a> financial inclusion in Peru, which has a large unbanked population, as India’s UPI <a href="https://cointelegraph.com/news/india-offline-cbdcs-limited-connectivity-areas">enables offline transactions</a>. It will also enhance interoperability among domestic and international payment systems. 
<h2 id="more-payment-options-for-peruvians">More payment options for Peruvians</h2>
BCRP Governor Julio Velarde <a href="https://www.prnewswire.com/news-releases/npci-international-and-the-central-reserve-bank-of-peru-partner-to-develop-upi-like-real-time-payments-system-in-peru-302164732.html" target="_blank" rel="noopener nofollow">said</a> the system will play a role in “allowing new participants to enter the Peruvian ecosystem” while “complementing the existing payments industry.” No launch date was announced.
Related: <a href="https://cointelegraph.com/news/digital-rupee-gets-big-usability-boost-through-yes-bank-integration-with-upi">Digital rupee gets big usability boost through Yes Bank integration with UPI</a>
UPI users can link multiple bank accounts in their mobile apps and use virtual payment addresses, their phone numbers and QR codes for payments on a 24-hour basis. According to a BCPR official <a href="https://www.bcrp.gob.pe/docs/Transparencia/Notas-Informativas/2024/nota-informativa-2024-06-04.pdf" target="_blank" rel="noopener nofollow">statement</a>:
<blockquote data-ct-non-breakable="true">
 “The BCRP’s objective is to promote greater access, security, redundancy and efficiency, as well as facilitate the introduction of new use cases in digital payments.”
</blockquote>
<h2 data-ct-non-breakable="true" id="the-upi-gets-around">The UPI gets around</h2>
NIPL was established in 2020. Sri Lanka, Mauritius, France, the United Arab Emirates, Singapore, Bhutan and Nepal officially <a href="https://www.businesstoday.in/nri/invest/story/peru-to-develop-upi-like-payments-system-first-south-american-nation-to-do-so-check-list-of-nations-who-have-adopted-indias-upi-432325-2024-06-06" target="_blank" rel="noopener nofollow">support</a> the UPI system. It is working with the Bank of Namibia to develop a UPI-like payment system there under an agreement reached in May. 
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/0294d708-d309-455e-b92f-7f14d4e15be0.png" alt="" title="">
 <figcaption style="text-align: center;">
 Source: <a href="https://x.com/eoilima/status/1798139333565706373" target="_blank" rel="noopener nofollow">India in Peru &amp; Bolivia</a>
 </figcaption>
</figure>
Google Pay and financial institutions in the United States, Japan, China and Singapore have <a href="https://www.npci.org.in/who-we-are/group-companies/npci-international" target="_blank" rel="noopener nofollow">partnerships</a>&nbsp;with NIPL. Singapore was the first country the UPI spread to, <a href="https://cointelegraph.com/news/india-expands-national-payment-network-to-singapore-what-s-in-it-for-crypto">partnering with PayNow</a> in February 2023. 
There <a href="https://cointelegraph.com/news/peruvian-stablecoin-launches-on-stellar-blockchain">are at least two</a> stablecoins <a href="https://cointelegraph.com/news/num-finance-colombian-peso-stablecoin-on-polygon">pegged to the Peruvian</a> sol. The country has also been <a href="https://cointelegraph.com/news/peru-considering-cbdc-to-improvement-payment-system-former-imf-adviser">considering the introduction</a> of a central bank digital currency (CBDC) since 2021. The BCRP <a href="https://cointelegraph.com/news/peru-to-partner-with-india-hk-and-singapore-central-banks-on-a-cbdc">has partnered with</a> the monetary authorities of China, India, Singapore and Hong Kong on the development of a CBDC in 2021. That was a year before India <a href="https://cointelegraph.com/news/the-reserve-bank-of-india-to-launch-a-retail-cbdc-pilot-in-december">officially launched its retail CBDC pilot</a>. 
Magazine: <a href="https://cointelegraph.com/magazine/blockchain-transactions-per-second-tps-stupid-big-questions/">Is measuring blockchain transactions per second (TPS) stupid in 2024? Big Questions</a>

Peru adopts India’s UPI system to boost financial inclusion

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