NPCI and HSBC India enable real-time FX for UPI payments

By Milan Rojan

The National Payments Corporation of India (NPCI) has partnered with HSBC India to enable real-time foreign exchange (FX) settlement for cross-border UPI payments, aiming to improve transparency and convenience for Indian travellers making payments overseas.

The collaboration has introduced an API-enabled infrastructure that allows HSBC India to provide real-time FX rates during international UPI transactions. Customers will be able to view the exact INR amount payable at the point of purchase, while overseas merchants and financial institutions will receive funds in their respective local currencies.

The initiative builds on the expansion of UPI’s international presence, with the payment system currently available across nine countries, including Singapore, the UAE, Nepal, Bhutan, Mauritius, France, Sri Lanka, Qatar and Cambodia. Through these integrations, Indian consumers can use QR code-based payments abroad directly from their Indian bank accounts.

HSBC India, acting as the banking partner, has leveraged its global payments capabilities and API connectivity to support faster and more efficient settlement processes. The solution was designed to enable secure, 24×7 cross-border payment flows while reducing complexity around foreign currency conversion.

An NPCI spokesperson has said: “Our collaboration with HSBC represents an important step toward enabling efficient forex conversion and real-time settlement for cross-border transactions, delivering transparent payment experiences for users.”

The partnership has marked another development in India’s efforts to expand the global adoption of its digital payments infrastructure. By combining UPI’s growing international acceptance with real-time FX capabilities, the collaboration has aimed to simplify overseas payments for consumers while improving settlement efficiency for ecosystem participants.

The move has highlighted the increasing role of API-driven payment infrastructure in enabling faster, more transparent and interconnected cross-border transactions as digital payment networks continue to expand globally.