The Maldives is set to introduce Bharat’s RuPay payment system, a move that signifies strengthening economic and diplomatic ties between the two nations. Although the exact launch date remains unspecified, discussions are actively underway.
“We are currently engaged in discussions with Bharat to explore avenues for facilitating payments in rupees,” stated a Maldivian minister, highlighting the collaborative efforts.
RuPay, developed by the National Payments Corporation of India (NPCI), is a prominent card payment network in Bharat, widely accepted at ATMs, point-of-sale (POS) devices, and e-commerce platforms across the country.
The initiative is expected to strengthen the Maldivian Rufiyaa.
“Addressing the dollar issue and reinforcing the MVR is a top priority for the current administration,” asserted Economic Development and Trade Minister Mohamed Saeed.
In August 2022, former President Ibrahim Mohamed Solih acknowledged the ongoing efforts to operationalise RuPay in the Maldives, noting that both nations were considering additional measures to enhance bilateral travel, tourism, and economic connections.
Recently, Bharat and China agreed to facilitate import payments in their respective national currencies, bypassing the US dollar. Saeed revealed he had met with Indian High Commissioner Munu Mahawar, who assured New Delhi’s support in arranging the settlement of import payments in Indian Rupee.
This shift is expected to help the Maldives reduce its yearly $1.5 million import bill by approximately 50 per cent.
In July 2023, the Indian Government included the Maldives among 22 countries authorised by the Reserve Bank of India to open Special Rupee Vostro Accounts (SRVAs), a strategic move to promote bilateral trade in local currencies.
In recent years, numerous banks and payment companies worldwide have partnered with NPCI International Payments Ltd (NIPL), the international arm of NPCI, to adopt UPI and RuPay in various capacities, reflecting the global expansion and acceptance of these Indian payment systems.
