Zimbabwe in Talks to Use India's UPI Technology for Real-Time Payments

Zimbabwe is in discussions with NPCI International Payments Ltd (NIPL), the international arm of India's National Payments Corporation, over the use of Unified Payments Interface (UPI) technology to upgrade the country's payments infrastructure.

Reserve Bank of Zimbabwe Governor John Mushayavanhu said the proposed system would provide common infrastructure connecting banks, mobile-money operators, fintech companies and other payment providers, allowing transactions to be processed in real time.

The negotiations could be concluded by October 31, although that would mark the potential completion of the agreement, not the launch of the payment system. Zimbabwe has not yet announced an implementation date, costs or the final structure of the network.

Building a More Connected Payments Network

The proposed system is aimed at addressing some of the fragmentation within Zimbabwe's payments market.

A UPI-based infrastructure would allow different financial institutions and payment providers to connect through a common system. This could make transfers between banks, mobile-money services and fintech platforms faster and easier to process.

UPI is an instant-payment system developed by India's NPCI. It allows users to transfer money between bank accounts and supports merchant payments, with transactions available around the clock.

Zimbabwe has already been working to improve interoperability within its payments market. In March, the Reserve Bank issued guidelines requiring payment service providers and participating banks to align their platforms and merchant solutions with common EMVCo QR-code standards. The central bank said the aim was to make QR payments interoperable across banks, mobile-money operators and payment service providers.

The proposed UPI-based system could build on that wider push towards connected digital payments.

India Takes Its Payments Infrastructure Abroad

Zimbabwe would not be the first country to explore using UPI technology as the foundation for its own domestic payments infrastructure.

NPCI International has been working with other countries on similar systems, including Namibia, where it signed an agreement with the Bank of Namibia in 2024 to support the development of an instant-payment system modelled on UPI.

The distinction is important. Zimbabwe would be looking at the underlying technology and infrastructure model, allowing it to develop an interoperable domestic payment network. This is different from simply allowing Indian consumers to use their existing UPI accounts when making payments in Zimbabwe.  the potential deal could give banks, mobile-money companies and fintechs a common payment layer while supporting faster digital transactions.

The immediate next step is the negotiations between the Reserve Bank of Zimbabwe and NPCI International. If the talks are completed by the end of October, the focus will then move to how the system would be implemented and how quickly Zimbabwe's financial institutions could connect to it.