UPI Rule Change: NPCI Bans QR Share-and-Pay for International Transactions – Here’s What It Means for You
The National Payments Corporation of India (NPCI) has issued a major update that will directly impact UPI users making international payments. Effective April 4, 2025, users will no longer be able to make UPI payments abroad via shared QR codes.
🚫 What’s Banned?
According to NPCI's circular dated April 8, 2025:
“QR Share and Pay” will not be allowed for international UPI Person-to-Merchant (P2M) transactions.
This means:
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You cannot scan a saved/shared international QR code to make payments abroad anymore.
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Your UPI app must recognize the live QR code in real-time at the point of sale.
🌍 Where UPI is Accepted Internationally
Currently, Indian UPI-based QR payments are supported in 7 countries:
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France
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Mauritius
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Nepal
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Singapore
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Sri Lanka
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UAE
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Bhutan
Previously, merchants abroad could send QR codes via WhatsApp or social media. Customers would scan and pay using apps like PhonePe, Google Pay, or Paytm. This method is now discontinued.
📲 Impact on Users & Merchants
For users:
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No more QR-based remote payments for international shopping or dining.
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Must scan QR physically at the merchant location.
For merchants:
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Can’t send QR images over social platforms for payment.
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Must ensure real-time QR visibility at their premises.
For PSPs (Payment Service Providers):
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Must block international QR-share-based transactions.
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Must ensure app compliance with updated NPCI rules.
🇮🇳 What About India?
Domestic UPI QR Share & Pay remains unchanged, but:
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A ₹2,000 cap is in place for non-verified offline Indian merchants.
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Users can still use QR Share-and-Pay within India for verified use cases.
💡 Note: The ₹2,000 limit has existed earlier — the latest update primarily targets international use.
✅ Key Takeaways
| Feature | Old Rule | New Rule (2025) |
|---|---|---|
| International QR Share & Pay | Allowed | ❌ Banned |
| Domestic QR Share & Pay (Unverified Merchants) | ₹2,000 limit applied | ✅ Still allowed under ₹2,000 limit |
| PSP Requirements | No enforcement on QR sharing | Must recognize & block international QR share |
| Real-time QR scan at POS abroad | Optional | ✅ Mandatory |
