Fintech - NewNerve

UPI Duopoly: NPCI Faces Dilemma as Deadline Looms

8May

By Ankit1 Comment

Fintech, BFSI, Payments

UPI Duopoly: NPCI Faces Dilemma as Deadline Looms

The Unified Payments Interface (UPI) has revolutionized digital payments in India, but a UPI duopoly is emerging with PhonePe and Google Pay dominating the market. The National Payments Corporation of India (NPCI), the governing body of UPI, is considering extending the market cap deadline to address concerns about anti-competitive practices. UPI Duopoly Problem Currently, PhonePe and Google Pay account for over 80% of UPI transactions, leaving little room for other players. This raises concerns about reduced competition, innovation, and consumer choice. The NPCI's market cap deadline of 30% for third-party apps (TPAs) was intended to address this issue. Let's delve deeper into the issues and explore potential solutions: Challenges: Reduced Competition: The dominance of PhoneP...

Top Cross-Border Payment Companies (Global): Navigating the Landscape of Providers

7May

By Ankit1 Comment

Payments, Blog

Top Cross-Border Payment Companies (Global): Navigating the Landscape of Providers

Cross-border payments have become increasingly vital in today's interconnected world, where businesses and individuals need to transfer funds across different countries efficiently and securely. With the rise of e-commerce and global trade, the demand for reliable cross-border payment solutions has grown significantly. In this article, we will explore and discuss some of the top cross-border payment companies that are shaping the global payments landscape. PayPal: PayPal is a household name in the world of digital payments. With its extensive global reach and user-friendly interface, PayPal enables individuals and businesses to send and receive money across borders seamlessly. Users can link their bank accounts, credit cards, or use their PayPal balance to conduct transactions. The c...

Emerging Trends and Solutions in Cross-Border Payments: Shaping the Future of Global Transactions

7May

By Ankit2 Comments

Payments, Blog

Emerging Trends and Solutions in Cross-Border Payments: Shaping the Future of Global Transactions

The landscape of cross border payments is undergoing a transformative shift, driven by technological advancements, changing customer expectations, and evolving regulatory frameworks. Emerging trends and innovative solutions are paving the way for a future where cross-border transactions are faster, more efficient, and more accessible than ever before. FinTechs: These companies have revolutionized cross-border payments by offering enhanced customer service, global reach, flexible payment options, lower fees, and faster transaction times. FinTechs facilitate secure, fast, and affordable transfers. Faster Payment Rails: Emerging payment networks enable quicker cross-border transactions. These systems aim to reduce settlement times significantly. Distributed Ledger Technology (DLT):...

Legacy Channels for Cross-Border Payments: Navigating the Established Landscape

7May

By Ankit1 Comment

Blog, Payments

Legacy Channels for Cross-Border Payments: Navigating the Established Landscape

While the world of cross-border payments is rapidly evolving with innovative technologies, legacy channels still play a significant role in facilitating international transactions. These traditional methods, despite their limitations, continue to be widely used by businesses and individuals due to their familiarity, established infrastructure, and global reach. In this article, we delve into the key legacy channels for cross-border payments, exploring their characteristics, advantages, and disadvantages. 1. International Wire Transfers: The Time-Tested Standard International wire transfers remain a cornerstone of cross-border payments, offering a reliable and secure method for transferring funds between bank accounts across different countries. These transfers are facilitated through the...

Revolutionizing Global Transactions: Advancements in Cross-Border Payments

7May

By Ankit5 Comments

Blog, Payments, Technology

Revolutionizing Global Transactions: Advancements in Cross-Border Payments

Cross-border payments are undergoing a significant transformation due to advancements in technology, changing customer expectations, and evolving regulatory frameworks. These developments are revolutionizing the way businesses and individuals conduct international/ global transactions, offering faster, more secure, and cost-effective cross-border payment solutions. In this article, we explore the key advancements that are reshaping the landscape of cross-border payments. Technological Innovations: Blockchain and Distributed Ledger Technology (DLT): Blockchain and DLT solutions offer decentralized and transparent networks for cross-border payments. They eliminate intermediaries, enhance security, and enable real-time, peer-to-peer transactions. Application Programming Interfaces ...

7May

By Ankit5 Comments

Payments, Blog

Types of Cross-Border Payment

Cross-border payments are an integral part of the global economy, facilitating international trade, remittances, and financial transactions. As businesses and individuals engage in economic activities across borders, understanding the different types of cross-border payments becomes essential. In this article, we delve into the various methods and instruments used for cross-border payments, highlighting their characteristics and significance. Types of Cross-Border Payments- Classification based on Business types: B2B (Business-to-Business): These involve payments between businesses across borders. Examples include paying suppliers, settling invoices, and conducting international trade. B2P (Business-to-Person): These are payments made by businesses to individuals abroad. Use...

The Promising Future of Cross-Border Payments: 7 Key Advancements

7May

By Ankit2 Comments

Blog, CBDC, Fintech, Payments

The Promising Future of Cross-Border Payments: 7 Key Advancements

In an increasingly interconnected world, cross-border payments play a vital role in facilitating international trade, remittances, and global economic transactions. The ability to transfer funds swiftly, securely, and cost-effectively across borders is crucial for businesses, individuals, and economies at large. However, cross-border payments have historically been associated with various challenges, including high costs, delays, and inefficiencies. In recent years, technological advancements and evolving regulatory frameworks have paved the way for transformative changes in the cross-border payment landscape. This article explores the advancements, challenges, and potential future developments in cross-border payments. Cross-border payments refer to financial transactions that involve ...

India and Ghana Forge UPI Link for Instant Cross-Border Transactions

7May

By Ankit1 Comment

BFSI, Fintech

India and Ghana Forge UPI Link for Instant Cross-Border Transactions

India and Ghana have recently agreed to operationalize the Unified Payment Interface (UPI) with the Ghana Interbank Payment and Settlement Systems (GhIPSS) within the next six months. This strategic move aims to facilitate instant fund transfers for users in both countries. Background: The Unified Payment Interface (UPI) is a real-time payment system developed by the National Payments Corporation of India (NPCI). It allows users to instantly transfer funds between bank accounts using their mobile phones. Ghana Interbank Payment and Settlement Systems (GhIPSS) is responsible for managing payment systems in Ghana. Why Is This Significant? The agreement between India and Ghana to operationalize the UPI link within six months has several implications: Enhanced Trade and I...

Private Digital Currencies vs. CBDC: A Safer Alternative

7May

By Ankit2 Comments

BFSI, CBDC, Fintech

Private Digital Currencies vs. CBDC: A Safer Alternative

Reserve Bank of India (RBI) Governor Shaktikanta Das recently emphasized the importance of Central Bank Digital Currency (CBDC) as a safer alternative to potentially dangerous private digital currencies. Let’s delve into the details. Digital Currencies: The Context Private digital currencies, commonly known as cryptocurrencies, are currently unregulated in India. The Indian government does not register crypto exchanges, and these assets operate in a borderless manner, requiring international collaboration. CBDC: A Safer Alternative Governor Das highlighted that CBDC can drive financial inclusion and provide a much safer alternative to private digital currencies. Here are the key points: Settlement Finality: CBDC offers the feature of settlement finality, which can substantially re...

The Business Correspondent Model: Expanding Financial Access in India

6May

By AnkitNo Comments

BFSI, Blog, Fintech, Lending, Microfinance, Payments

The Business Correspondent Model: Expanding Financial Access in India

The Business Correspondent (BC) model is a crucial component of India's financial inclusion strategy, aiming to extend financial services to unbanked and underserved populations in rural and remote areas. Let's delve deeper into how this model works: 1. What is a BC? A BC acts as an intermediary between a bank and its customers, providing basic financial services at the last mile. These individuals or entities are typically local entrepreneurs or community members who understand the local context and have the trust of the community. 2. Services Offered by BCs: BCs typically offer a range of services, including: Account opening Cash deposits and withdrawals Money transfers Micro-loans Micro-insurance Bill payments ...