The National Payments Corporation of India (NPCI) and the Bank of Namibia (BoN) have an agreement in place for NPCI International Payments (NIPL), the latter's international division, to assist the former in creating an instant payment system similar to the Unified Payment Interface (UPI) for the latter's nation in Southwest Africa.
In 2023, namibia published a report called 'Digital Financing for Sustainable Development'.In which they highlighted the challenges, opportunities, and strategy to develop the digital economy. In the report they are open to suggestion for open source payment systems.
By means of this partnership, the Bank of Namibia will have access to NIPL's cutting-edge technology and insights, paving the way for the establishment of a comparable platform in Namibia for the digital welfare of its populace.
With the help of technology and UPI's experience from India, the partnership aims to assist Namibia in modernizing its financial milieu. Enhancing interoperability, affordability, connectivity to local and international payment networks, and accessibility are all included in this.
By means of this partnership, the Bank of Namibia will have access to NIPL's cutting-edge technology and insights, paving the way for the establishment of a comparable platform in Namibia for the digital welfare of its populace.
Johannes Gawaxab, Governor of the Bank of Namibia, said, their objective is to enhance accessibility and affordability for underserved populations, achieve full interoperability of payment instruments by 2025, modernize the financial sector, and ensure a secure and efficient national payment system.
"This system aims to connect individuals, businesses, and government entities across Namibia, including the payments of social grants, enabling more efficient economic interactions, and supporting the growth of digital entrepreneurship," the Namibian central bank governor said".
Speaking on the partnership, Ritesh Shukla, CEO, NPCI International said, "We are excited about this partnership, which will enable Namibian citizens to transact instantly leveraging technology and experiences from India's UPI. By enabling this technology, the country will gain sovereignty in the digital payments landscape and stand to benefit from enhanced payment interoperability and improved financial access for underserved populations.
Most African countries are years behind in digital economy initiatives. This will foster a positive environment for India's UPI and esablished trade relations with these countries.
