PhonePe, a leading Indian fintech app, has announced that its users can now make seamless payments directly in the United Arab Emirates (UAE) using the familiar UPI method. This move brings greater convenience and ease to financial transactions between the two countries.
PhonePe users visiting the UAE can now make payments at stores displaying Mashreq Bank's NEOPAY terminals. PhonePe has collaborated with Mashreq Bank (a UAE-based bank), and NPCI International Payments Limited (NIPL). These terminals are widely spread across various retail outlets, restaurants, tourist spots, and leisure attractions. Making a payment is as simple as scanning a QR code with your PhonePe app, just like you would do in India.
The announcement was made on 28 March, 2024 and the company’s press release mentions: “PhonePe App users traveling to the UAE can now make payments using UPI at Mashreq’s NEOPAY terminals, available across a wide array of retail stores, dining outlets, as well as tourist and leisure attractions. They simply need to scan the QR code for seamless and rapid payments. These transactions are facilitated by the Unified Payments Interface (UPI). The account debit will occur in INR, showing the currency exchange rate.”
Moreover, Indian residents residing in UAE can also benefit from this. They can download the PhonePe app and sign in with their UAE mobile number and link their Non-Residential External (NRE) accounts to make the payments.
PhonePe mentions: “Additionally, NRIs with UAE mobile numbers can also download the PhonePe App and link their existing NRE and NRO accounts to facilitate payments. This aims to enhance the ease and convenience of transactions for the Indian diaspora in the UAE.”
How Does UPI Payment Feature in UAE Works?
Currently, only PhonePe users traveling to the UAE can use UPI for payments. Here is how you can use UPI payments in UAE:
- Look for a store with a NEOPAY terminal displaying the UPI symbol.
- Open the PhonePe app on your phone and initiate a UPI payment as you normally would in India.
- Scan the QR code displayed on the NEOPAY terminal.
- Confirm the payment details, including the amount (which will be in INR) and currency exchange rate.
- Enter your UPI PIN to complete the transaction.
What are the Benefits of this New Feature?
This new integration offers a bouquet of advantages:
- Convenience for Travellers: Indian tourists can ditch the hassle of carrying cash or converting currency. They can simply rely on their trusted PhonePe app for payments, ensuring a familiar and hassle-free experience.
- NRIs Can Join the Party: Non-resident Indians (NRIs) with UAE mobile numbers can also benefit from this service. They can link their existing NRE (Non-Resident External) and NRO (Non-Resident Ordinary) accounts to their PhonePe app and start making payments.
- Smoother Transactions: Transactions made via UPI will be deducted from your Indian Rupee (INR) account, with the currency exchange rate clearly displayed during the transaction.
Ritesh Pai, CEO International Payments, PhonePe said, “We are thrilled to announce our partnership with Mashreq. UAE is a very popular destination, with millions of Indian visitors every year. With this partnership, customers can now conveniently transact through UPI, a payment method they are familiar with. Enabling digital payments not only reflects PhonePe’s commitment to convenience but also embraces the evolving needs of today’s travelers. This collaboration opens doors to seamless transactions, ensuring a smoother and more enjoyable journey for visitors.”
