Indians in UAE Can Use UPI Without Indian Numbers

UPI Abroad: How Indians in UAE Can Transact Without Indian Phone Numbers

For Indian citizens living in the United Arab Emirates, managing financial matters back home is becoming increasingly straightforward, thanks to the expansion of the UPI system. In February 2024, an agreement between the UAE and India ushered in a new era for digital payments: it is no longer necessary to have an Indian phone number to use the Unified Payments Interface (UPI). This change significantly eases the lives of Non-Resident Indians (NRIs), who can now handle their remittances conveniently, quickly, and securely, both in India and globally.

What is UPI and why is it unique?

UPI is a real-time payment system that allows users to send or receive money in seconds by scanning a QR code or entering a phone number or UPI ID—all without using banking details. The system operates 24/7 every day of the year, eliminating the need to adhere to banking hours.

With UPI, transfers can occur not only between individuals but also for retail payments, utility bills, and tuition fees—even from thousands of kilometers away.

What is needed to use UPI from the UAE?

The first and foremost requirement is for the NRI user to have an NRE (Non-Resident External) or NRO (Non-Resident Ordinary) bank account at an Indian financial institution. Moreover, the account details (KYC) must be up-to-date, and the account must be linked with an international phone number, such as those used in the UAE.

Next, users should register with the respective bank's mobile application or an approved UPI application like PhonePe or the BHIM app. During registration, the international phone number must be provided, and the details confirmed—granting full UPI user access to the non-resident.

Which banks support UPI usage from the UAE?

Several Indian banks allow international numbers to link with accounts and UPI profiles. These financial institutions offer this option:

State Bank of India

HDFC Bank

ICICI Bank

Axis Bank

Kotak Mahindra Bank

Punjab National Bank

Federal Bank

Yes Bank

South Indian Bank

IndusInd Bank

AU Small Finance Bank

Equitas Small Finance Bank

City Union Bank

IDFC First Bank

Canara Bank

DBS Bank Ltd

Many of these also offer their own apps for transactions, such as FedMobile, iMobile, SIB Mirror+, BHIM AU, or BHIM Indus Pay. Additionally, the central BHIM app or PhonePe are available options.

What is the daily transaction limit?

Most Indian banks apply a daily limit of 100,000 rupees for UPI transactions, although for certain categories—like utility bills or educational fees—this amount might be increased. Exact limits vary by bank and transaction type.

What types of transactions can be conducted from the UAE?

The new system allows NRIs to:

scan Indian QR codes for payments from the UAE,

send money to an Indian phone number or UPI ID,

make payments in Indian stores or with service providers,

settle school tuition, hospital costs, or utility bills.

Additionally, some banks (e.g., HDFC) now allow NRE customers to perform UPI transactions with international merchants in supported markets, including the UAE.

Why is this update important for the NRI community?

Previously, UPI usage was tied exclusively to an Indian SIM card, preventing many Indians living abroad for years from using it. The new system offers not only convenience but also security and flexibility: supporting family, making payments, or gifts are now just a few clicks away, irrespective of the user's location.

Summary

For Indians residing in the UAE, the availability of UPI takes financial contact with home to a new level. The removal of the reliance on an Indian phone number, acceptance of international numbers, and incorporation of modern banking and fintech solutions mean that UPI now offers real-time, fast, and secure financial solutions not just to residents of India but also to Indian communities worldwide. UAE residents can now manage their Indian obligations conveniently and effortlessly—with a single mobile application.

(Source of the article: Narendra Modi, Prime Minister of India.)