In a significant boost to bilateral digital finance, India and Israel inked a deal Thursday to enable cross-border UPI payments. Prime Minister Narendra Modi’s presence at the signing in Tel Aviv underscored the strategic importance of linking UPI with Israel’s payment infrastructure, set to make transactions swifter and more affordable for users across borders.
PM Modi, wrapping up his two-day visit, hailed the move as a game-changer. Businesses will benefit from streamlined cross-border payments, with reduced costs and faster settlements, he noted. This partnership exemplifies how innovative public systems like UPI—now India’s top payment choice at 57% of transactions—can scale globally.
A recent independent study by India’s Finance Ministry reveals UPI’s edge over cash (38% share), driven by its simplicity and instant transfers. More than 65% of users engage in daily multi-transaction activity, proving its reliability.
The agreements extended further, establishing a framework for joint work in cutting-edge fields like artificial intelligence, quantum computing, and critical minerals. Commitments were also made to progress in civil nuclear cooperation, space programs, advanced farming tech, and rural development initiatives for exemplary villages.
UPI’s international adoption continues to grow, active in UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, Mauritius, and Qatar. By prioritizing openness and interoperability, UPI challenges proprietary models, fostering inclusive growth. This Israel integration signals a new era of efficient, tech-driven commerce between the two innovation powerhouses.