The Reserve Bank of India (RBI) announced the launch of a payment systems connectivity between India and Cambodia for QR-code based cross-border merchant payments on June 3. This initiative enables consumers and merchants in both countries to make and receive payments using QR codes, facilitating smoother trade and financial transactions between the two nations, according to rbi.org.in.
The connectivity was established through collaboration between the RBI and the National Bank of Cambodia. It allows merchants in Cambodia to accept payments from Indian consumers using Unified Payments Interface (UPI) QR codes, while Indian merchants can similarly accept payments from Cambodian consumers. The system leverages existing domestic QR code payment infrastructure in both countries to enable seamless cross-border transactions.
This development marks a significant step in enhancing digital payment interoperability in the region. It aligns with global trends where central banks are promoting cross-border digital payment solutions to reduce transaction costs and improve financial inclusion. The RBI’s move follows similar initiatives with other countries, positioning India as a key player in regional digital payment integration.
The RBI’s press release dated June 3 details the launch and highlights that this connectivity will initially focus on merchant payments, with potential expansion to other payment types in the future. The collaboration is expected to boost bilateral trade and tourism by simplifying payment processes for consumers and businesses in both countries.