UPI Goes Live in Cambodia: How Indian Travellers Can Use It

In a landmark move to boost cross-border digital payments, the National Payments Corporation of India’s (NPCI) international arm, [suspicious link removed], has officially launched UPI acceptance in Cambodia. Announced in Phnom Penh, the initiative allows Indian tourists to pay for goods and services at over 4.5 million merchant outlets across the country by scanning Cambodia’s national KHQR codes. This development aims to simplify transactions for visitors, reducing their reliance on physical currency and mitigating the impact of foreign exchange volatility.

Expanding Digital Horizons for Travellers

The launch represents the first phase of a strategic partnership between [suspicious link removed] and ACLEDA Bank Plc., one of Cambodia's leading financial institutions. By leveraging the existing KHQR network—Cambodia’s national interoperable QR code system—the integration provides a familiar and secure payment experience for Indian citizens visiting the region.

The ceremony, held in Phnom Penh, was attended by senior representatives from the National Bank of Cambodia and officials from the Reserve Bank of India, underscoring the bilateral importance of this digital infrastructure.

How the Payment System Works

For travellers, the process is designed to be intuitive and similar to using UPI within India:

• Scan and Pay: Users can use their existing UPI-enabled mobile applications to scan the Bakong KHQR codes displayed at participating retail stores, restaurants, and tourist attractions.

• Real-time Settlement: The system enables real-time digital transactions, eliminating the friction often associated with international cash handling.

• Widespread Availability: With over 4.5 million merchant locations currently equipped, the service is expected to cover a vast majority of the tourist-frequented areas in the country.

Future Phases: A Two-Way Corridor

While the current rollout focuses on Indian travellers, the project is planned in two distinct phases. Officials confirmed that the next stage will enable Cambodian visitors to India to make payments at millions of [suspicious link removed]-enabled merchant outlets using their domestic banking and payment applications. This reciprocal arrangement is intended to create a fully interoperable digital payment corridor, further strengthening commercial and tourism ties between the two nations.

Official Statements

During the launch event, [suspicious link removed], Managing Director and CEO of [suspicious link removed], stated: "Enabling UPI acceptance in Cambodia marks a significant milestone in this journey. It ensures that Indian travellers enjoy a familiar, secure and seamless payment experience abroad, while Cambodian merchants gain access to millions of digital-first consumers."

Dr. In Channy, President and Group Managing Director of ACLEDA Bank Plc., added that the integration would "reduce transaction friction and foreign exchange challenges for travellers while giving local merchants access to a wider customer base through real-time digital payments."

Why It Matters

This initiative is a critical step in the "internationalization" of India’s digital public infrastructure. By reducing dependence on cash, Indian travellers can benefit from:

• Reduced Costs: Minimizing fees associated with physical currency exchange and international card transactions.

• Convenience: Utilizing the same mobile applications they use daily in India.

• Security: Leveraging the robust, encrypted framework of the UPI ecosystem.

Key Facts at a Glance

• Merchant Reach: The service is live at over 4.5 million outlets across Cambodia.

• Technology: Uses the national KHQR code system for seamless interoperability.

• Partnership: A collaboration between [suspicious link removed] and ACLEDA Bank Plc..

• Reciprocity: A two-way payment corridor is planned, allowing Cambodian visitors to use their local apps in India in the future.

• Global Presence: Cambodia joins a growing list of countries, including France, Singapore, UAE, and Qatar, where UPI is now accepted.

Frequently Asked Questions

Q: Do I need to download a new app to use UPI in Cambodia?

A: No, you can use your existing UPI-enabled applications (such as Google Pay, PhonePe, or Paytm, provided your bank supports "UPI International") to scan the KHQR codes.

Q: Are there extra charges for using UPI in Cambodia?

A: While UPI transactions are generally free in India, users should check their bank's policy on international transaction fees or currency conversion charges, which may apply during cross-border usage.

Q: Is this service available in all Cambodian shops?

A: The service is available at merchants that accept the national KHQR code system. With 4.5 million outlets enabled, it covers a wide range of retail, dining, and tourist spots.

Q: Will I be able to receive money from Cambodian friends via UPI?

A: Currently, this phase focuses on merchant payments (P2M). Future updates regarding peer-to-peer transfers will be announced by the relevant authorities.

Source: [suspicious link removed], ACLEDA Bank Plc., National Bank of Cambodia, Reserve Bank of India