UPI Expands to Qatar: Strengthening India’s Digital Footprint Abroad

India’s digital payments revolution has crossed yet another border. The Unified Payments Interface (UPI), developed by the National Payments Corporation of India (NPCI), has officially been launched across Qatar, marking a significant milestone in India’s ongoing efforts to globalize its fintech ecosystem. The rollout at Lulu Group’s retail outlets in Doha represents not only technological expansion but also a deepening of financial ties between India and the Gulf nation.

Piyush Goyal calls UPI launch in Qatar a “milestone moment” that will boost trade, cut costs, and make remittances faster for over 8 lakh Indians | Moneycontrol

The Launch: A New Era for Indo-Qatar Financial Cooperation

The launch ceremony, held at Lulu Hypermarket in The Pearl, Doha, was inaugurated by India’s Commerce and Industry Minister Piyush Goyal. The event witnessed the presence of senior officials from Qatar National Bank (QNB) and the Lulu Group. Goyal hailed the initiative as a “transformative step” toward a more connected, inclusive, and efficient financial ecosystem between the two countries.

With this launch, Qatar National Bank has become the first financial institution in the country to facilitate UPI payments across all Lulu stores, allowing Indian visitors and residents to make purchases through seamless QR code–based transactions. Earlier, UPI was only available at select duty-free shops in Hamad International Airport. The expansion now brings real-time, cost-effective payments into everyday shopping experiences across Qatar.

Goyal emphasized that this development goes beyond convenience — it symbolizes the power of technology to redefine global trade, foster trust, and bring down the costs associated with cross-border remittances. He also encouraged other financial institutions in Qatar to adopt UPI, noting that this integration could make money movement faster, more secure, and significantly cheaper for Indian expatriates.

Impact on the Indian Diaspora and Qatari Retail

For the 830,000-strong Indian diaspora living and working in Qatar, this rollout is a major relief. UPI’s introduction at a leading retail chain such as Lulu Hypermarket allows Indians to pay directly from their domestic bank accounts, eliminating the need for international cards or currency exchanges. This also benefits Qatari merchants by attracting more Indian consumers, reducing dependence on high-cost payment gateways, and promoting digital transactions in the retail and hospitality sectors.

The Lulu Group, known for catering extensively to the South Asian community, has long been a bridge between India and the Gulf. By integrating UPI, it has reaffirmed its position at the forefront of retail innovation in the region. The move aligns with Qatar’s broader goals of digital transformation, particularly as the country diversifies its economy beyond hydrocarbons.

India’s Global Digital Strategy: UPI as a Soft Power Tool

Qatar’s inclusion marks the eighth international market to adopt UPI, following Singapore, the UAE, Bhutan, Nepal, Sri Lanka, Mauritius, and France. This expansion underscores India’s growing role as a leader in digital public infrastructure. UPI, which started as a domestic innovation in 2016, has evolved into a powerful instrument of “digital diplomacy,” helping nations enhance financial inclusion through open, interoperable systems.

Globally, the NPCI’s subsidiary, NPCI International Payments Limited (NIPL), is working with various governments and institutions to enable UPI acceptance worldwide. Recent agreements include partnerships with Japan’s NTT DATA to bring UPI to Japanese merchants and with PayPal’s new platform, “PayPal World,” which aims to integrate UPI for seamless cross-border payments. These initiatives demonstrate India’s ambition to position UPI as a model for global financial interoperability.

Domestically, UPI remains the backbone of India’s digital payments system, processing over 640 million transactions daily and accounting for nearly 85% of all digital retail payments. The system’s success has also encouraged the development of related innovations, including biometric authentication using fingerprints and facial recognition, which will soon be introduced for added security in high-value transactions.

Challenges and the Road Ahead

While UPI’s international journey has been impressive, it is not without challenges. Regulatory synchronization across jurisdictions remains a complex task, as countries differ in their banking and anti-money-laundering frameworks. Exchange rate transparency, merchant onboarding, and cybersecurity resilience are additional areas requiring attention as adoption scales globally.

Nonetheless, the foundation is strong. The interoperability of UPI, coupled with its cost efficiency, continues to make it an attractive model for nations seeking digital transformation. The Qatar launch also serves as an example of how UPI can strengthen bilateral trade, simplify remittances, and promote financial inclusion on a global scale.

The MGMM Outlook

India’s UPI expansion to Qatar marks another stride in extending the country’s digital and financial influence globally. The collaboration between the National Payments Corporation of India (NPCI), Qatar National Bank (QNB), and the Lulu Group not only simplifies transactions for the large Indian diaspora but also strengthens economic and cultural bonds between India and Qatar. By enabling seamless QR-based payments at all Lulu stores, the initiative reflects India’s growing confidence in exporting technological self-reliance and financial innovation. For millions of Indians abroad, it signifies the comfort of homegrown convenience—an emblem of India’s rising global presence in the fintech landscape.

The move also reinforces India’s digital diplomacy strategy, positioning UPI as both a technological and geopolitical asset. With its reach already spanning eight countries, UPI is becoming a symbol of India’s digital sovereignty and a model for inclusive economic growth. Beyond convenience, it represents trust, transparency, and India’s commitment to shaping a borderless financial future. As UPI continues to expand, it not only connects economies but also embodies India’s journey toward leading the world in secure, people-first digital transformation.

(Sources: Moneycontrol, The Economic Times, Business Standard)