DUBAI, September 9, 2025 — In a major move poised to reshape the global financial landscape, India unveiled the UPI-UPU integration project at the 28th Universal Postal Congress held in Dubai. Union Minister for Communications and Development of North Eastern Region, Jyotiraditya M. Scindia, led the launch, describing the initiative as a pivotal step in making cross-border remittances faster, cheaper, and more inclusive.
This groundbreaking initiative was developed through a strategic partnership involving India Post, NPCI International Payments Limited (NIPL), and the Universal Postal Union (UPU). The integration connects India’s Unified Payments Interface (UPI)—a real-time, low-cost digital payments platform—with the UPU Interconnection Platform, creating a seamless cross-border payment ecosystem through national postal services.
Revolutionizing Global Remittance Systems
Speaking at the launch, Scindia highlighted the significance of the UPI-UPU project, emphasizing that the initiative is not merely technological but represents a global social transformation. He pointed out that with this collaboration, postal networks worldwide—often the most accessible financial institution in many countries—will be empowered to offer instant, secure, and affordable money transfers.
The goal, according to Scindia, is to leverage the massive reach of postal infrastructure and combine it with India’s cutting-edge fintech capabilities to serve millions of families who rely on remittances. The minister underlined that this model would also help reduce transaction fees, aligning with UN Sustainable Development Goals, particularly the target of bringing down global remittance costs to below 3% by 2030.
India’s Global Financial Inclusion Model
Scindia spotlighted India’s digital inclusion achievements, noting that the Aadhaar digital ID system, Jan Dhan bank accounts, and the India Post Payments Bank have collectively enabled over 560 million new bank accounts, with a significant majority held by women.
He further mentioned that India Post delivered over 900 million letters and parcels in 2024, showcasing its enduring relevance. “This is the scale and spirit of inclusion India brings to the global stage,” Scindia asserted during his address.
The minister confirmed that India will contribute USD 10 million to UPU initiatives during the current cycle. These funds will support innovation, e-commerce integration, digital payments, and capacity building efforts within postal systems worldwide.
UPI’s Explosive Growth and Global Acceptance
The Unified Payments Interface, launched in 2016 by the National Payments Corporation of India (NPCI), has become a central pillar of India’s digital payments revolution. In the financial year 2024–25 alone, UPI processed more than 185 billion transactions, valued at USD 2.83 trillion. This volume represented nearly half of all digital transactions worldwide, cementing India’s leadership in digital finance.
Scindia emphasized how UPI’s international reach is growing steadily. It is now accepted in countries across the Gulf and even at iconic global landmarks like the Eiffel Tower in Paris. The UPI-UPU integration aims to extend these capabilities to postal services globally, ensuring that even remote rural communities can benefit from fast, affordable digital remittances.
By combining postal addresses and identities with digital payment rails, the system will make sending money as effortless as sending a text message—a compelling shift from traditional remittance methods that are often slow, expensive, and bureaucratic.
Empowering the Indian Diaspora and Postal Administrations
The implications of the UPI-UPU integration are especially significant for the Indian diaspora, which sends billions of dollars in remittances annually to families back home. For these communities, the project promises instant transfers with significantly lower fees than conventional banking or remittance services.
At the same time, postal administrations worldwide, especially in developing countries, stand to gain from new revenue models and a strengthened role as essential community financial hubs.
Scindia made it clear that India views this project as a global public good, underpinned by values of trust, interoperability, and sustainability. He called on fellow UPU member nations to join hands in adopting interoperable solutions that avoid the pitfalls of costly fragmentation in the international financial system.
India’s Bid for a Stronger Role in UPU
During the Congress, Scindia formally announced India’s candidature for the UPU’s Council of Administration and the Postal Operations Council. The move underscores India’s growing ambition to take a leadership role in shaping a more integrated and inclusive global postal system.
He reaffirmed India’s commitment to long-term partnerships, stating: “India comes to you not with proposals, but with partnership. We believe in resilience and trust, linking payments, identity, addressing, and logistics to make global commerce seamless.”
This position resonated with the audience, especially among countries looking to modernize their postal and financial infrastructures through low-cost, scalable solutions.
International Recognition and Endorsement
Masahiko Metoki, Director General of the Universal Postal Union, commended India for its visionary leadership and tangible contributions to global financial services. He praised India’s proactive role as Co-Chair of the UPU’s Postal Operations Council, emphasizing that the country’s support has been instrumental in promoting cross-border financial inclusion.
Metoki acknowledged that India’s partnership with the UPU, especially through the UPI-UPU integration, sets a powerful precedent for how emerging economies can innovate responsibly while supporting international development goals.
A Model for Future Global Financial Infrastructure
The integration of UPI into UPU’s infrastructure is more than a bilateral initiative—it is being positioned as a model for other countries seeking to bridge gaps in digital finance. With the backing of UPU and the success of UPI, other national postal systems now have a ready blueprint for adopting interoperable digital payment technologies.
India’s offer of technical support, funding, and capacity building will help interested nations deploy similar systems with minimal friction. This could unlock new corridors of trade, tourism, and remittances, while also strengthening data security and regulatory compliance.
The project’s core architecture also aligns with the G20’s Financial Inclusion Principles, further amplifying its credibility in multilateral platforms.
The UPI-UPU integration launched by India at the Universal Postal Congress in Dubai represents a decisive moment in the evolution of global financial services. By connecting India’s pioneering digital payment ecosystem with the vast postal networks under the UPU umbrella, this initiative aims to make cross-border remittances faster, cheaper, and universally accessible.
Through its technological innovation, financial contributions, and policy leadership, India is not only transforming how money moves across borders but also reaffirming its role as a global partner in building inclusive, sustainable systems for the future.
