PhonePe has announced a strategic partnership with LankaPay, facilitating users to make payments using the Unified Payments Interface (UPI) across the island nation. This collaboration marks a milestone in expanding PhonePe’s footprint beyond India and underscores the growing trend of cross-border digital transactions.
At a ceremony commemorating the partnership, PhonePe unveiled its plans to enable its app users traveling to Sri Lanka to seamlessly transact using UPI across LankaPay QR merchants. Leveraging the robust infrastructure of the UPI and LankaPay National Payment Network, users can now make secure and efficient payments without the hassle of carrying cash or dealing with currency conversions. Transactions will be conducted in INR, with the currency exchange rate prominently displayed.
Ritesh Pai, CEO of International Payments at PhonePe, expressed enthusiasm about the collaboration, highlighting the enhanced convenience it offers to Indian tourists and business travelers. He emphasized that leveraging a familiar and secure payment method like UPI would significantly enhance the payment experience across LankaQR merchant points.
LankaPay CEO, Channa de Silva, echoed similar sentiments, emphasizing the potential of the collaboration to streamline payment processes for Indian visitors while providing a cost-effective solution for merchants accepting digital payments.
Governor Nandalal Weerasinghe of the Central Bank of Sri Lanka commended the partnership, noting its capacity to unlock new opportunities and enhance competitiveness in the Sri Lankan market. He underscored the benefits it brings to local merchants by facilitating seamless transactions with Indian tourists.
Speaking at the event, Santosh Jha, the High Commissioner of India to Sri Lanka, emphasized the broader significance of the UPI launch in fostering digital cooperation between the two nations. He highlighted India’s support for Sri Lanka’s digital initiatives, including the development of its Unique Digital Identity Program, as part of a larger bilateral economic partnership.
The PhonePe digital payments app, launched in August 2016, boasts over 520 million registered users and a vast network of 38 million merchants. Apart from its core digital payments business, the PhonePe Group has diversified into financial services and consumer technology ventures.
The event also featured a panel discussion on ‘The Future of Digital Payments in Sri Lanka: Opportunities for Sri Lankan Businesses,’ with industry leaders exploring ways for local businesses to leverage digital payment technologies. Representatives from prominent Sri Lankan banks, including the National Savings Bank and Hatton National Bank PLC, along with leaders from the finance and telecommunications sectors, participated in the discussion.
Key stakeholders from Sri Lanka, including representatives from the banking, tourism, and business sectors, attended the event, underscoring the collective effort to drive innovation and digital transformation in the country’s payment landscape.
