New Delhi : The landmark agreement signed in 2024 between India and the United Arab Emirates (UAE) to facilitate Indian Expats in UAE embrace UPI for digital payments. This is now yielding tangible results. Indian expatriates residing in the UAE have begun using the Unified Payments Interface (UPI) in large numbers, bringing them closer to India’s fast-growing fintech ecosystem.
UPI Adoption Soars Among NRIs in UAE
To use UPI from abroad, NRIs must register their international mobile numbers with UPI-enabled Indian banks. This strategic move is designed to simplify financial transactions for Indian residents in the Gulf nation, enabling them to instantly send money to family and friends or pay bills in India — all through their smartphones.
The initiative aligns with India’s digital public infrastructure goals and UAE’s ongoing fintech modernization, creating a robust platform for cross-border payments.
NRE/NRO Account Mandatory for UPI Access
To be eligible for UPI services, NRIs must hold an NRE (Non-Resident External) or NRO (Non-Resident Ordinary) account with a UPI-participating Indian bank. The international mobile number must be linked to the account and fully KYC compliant.
Once registered, users can scan QR codes or input UPI IDs or mobile numbers to transfer funds 24/7, instantly and securely. This functionality eliminates the need for costly international wire transfers or separate remittance platforms.
Leading Indian banks including HDFC Bank, ICICI Bank, Axis Bank, Federal Bank, SBI, PNB, Canara Bank, and IndusInd Bank have activated UPI for UAE-linked numbers. Popular UPI apps like PhonePe and BHIM now support international registration, making UPI a preferred option for day-to-day transactions.
Easy Setup and Instant Payments
To access UPI, NRIs must follow a simple process:
- Register their UAE mobile number with their Indian NRE/NRO account.
- Ensure KYC compliance with the participating bank.
- Download a UPI-enabled app like PhonePe or BHIM.
- Complete registration using the international number.
- Start sending money using UPI ID, phone number, or QR codes.
Once registered, users can pay school fees, electricity bills, rent, or other household expenses in India with just a few taps on their phone — without the need for a local Indian SIM card or separate remittance service.
Transaction Limit Set at Rs 1 Lakh
UPI payments from UAE are capped at Rs 100,000 (approx. AED 4,400) per transaction, though banks may permit higher limits in special cases. The convenience of UPI allows NRIs to avoid currency conversion delays and transaction fees, making it a game-changer for cross-border personal finance.
A Boost for Digital India
The adoption of UPI by NRIs in the UAE marks a milestone in India’s digital financial diplomacy. It bridges the geographical gap between NRIs and their families, empowering expatriates to remain financially connected to India in real time.
As more countries collaborate with India’s UPI framework, the digital rupee may soon find global acceptance, turning India’s fintech revolution into a worldwide model.
