India and Indonesia have confirmed that their national payment systems, UPI and QRIS, are on track for full integration by the end of 2026. This initiative, announced during Prime Minister Narendra Modi’s state visit to Jakarta, is already at an advanced technical stage and expected to transform cross‑border transactions, tourism, and trade between the two nations.

Indian Ambassador to Indonesia Sandeep Chakravorty stated that discussions and technology integration are progressing steadily. He emphasised that the process is already at a very advanced stage, with payment system operators from both countries working closely to finalise the technical arrangements.

He explained that the leaders of both nations have expressed their intention to see the integration completed as soon as possible. This political backing has accelerated negotiations, with instructions conveyed to the technical teams to conclude the process quickly.

The announcement was made against the backdrop of Prime Minister Modi’s ongoing state visit to Indonesia. At the Merdeka Palace in Jakarta, Modi and President Prabowo Subianto jointly declared plans to integrate the two countries’ payment systems. Modi highlighted that the integration would enhance people‑to‑people interactions and boost bilateral economic transactions.

Once implemented, Indonesia’s Quick Response Code Indonesian Standard (QRIS) will be usable for transactions in India. Similarly, QR codes from India’s Unified Payments Interface (UPI) ecosystem will be accepted in Indonesia. This will allow travellers, merchants, and businesses to use familiar domestic payment applications abroad, reducing reliance on cash and simplifying transactions.

The integration is part of a broader agenda of digital economic cooperation. Indonesia has positioned QRIS as a central component of its digital payments strategy, expanding its role in both domestic and international contexts. India, meanwhile, has been actively promoting UPI as a global digital payment platform, with successful linkages already established in countries such as Singapore, the UAE, Bhutan, Nepal, Sri Lanka, France, Mauritius, and Qatar.

Cross‑border payment integration has become a priority across Asia, aimed at supporting tourism recovery, small business participation, and regional trade. By enabling seamless QR code payments, the initiative will improve efficiency and strengthen financial sector resilience in both countries.

The leaders also discussed wider cooperation beyond payments, including trade, investment, defence, energy, healthcare, and digital public infrastructure. Notably, Indonesia launched the Indonesia Open Network (ION), modelled on India’s Open Network for Digital Commerce (ONDC), reflecting deeper collaboration in digital innovation.

President Prabowo emphasised that the payment system integration would strengthen the resilience of both financial sectors and facilitate cross‑border transactions. He noted that the system is expected to improve transaction efficiency while reinforcing economic ties.

The initiative is expected to simplify payments for travellers and businesses, enhance bilateral commerce, and contribute to regional connectivity. It represents a significant step in India’s broader push to make UPI a globally accepted payment platform, while supporting Indonesia’s digital transformation agenda.

By the end of 2026, the QRIS‑UPI linkage is anticipated to be fully operational, marking a milestone in the digital partnership between India and Indonesia. It will stand as a symbol of the two nations’ commitment to modernising financial systems and deepening economic cooperation.

Agencies