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The Maldives Monetary Authority (MMA) has launched the Favara–UPI Cross-Border Payment Corridor, enabling real-time remittances from the Maldives to India by integrating the Maldives' Favara Instant Payment System with India's Unified Payments Interface (UPI).

About the Favara–UPI Cross-Border Payment Corridor

The Favara–UPI Cross-Border Payment Corridor is a real-time digital payment linkage that connects the Maldives' Favara Instant Payment System with India's Unified Payments Interface (UPI). It facilitates seamless person-to-person (P2P) cross-border fund transfers between the two countries.

Key Features

• Countries Involved: India and the Maldives.
• Implementing Institutions: Maldives Monetary Authority (MMA), Reserve Bank of India (RBI), NPCI International Payments Limited (NIPL), and participating banks.
• Objective: To enable secure, instant, and low-cost cross-border digital payments, strengthen financial connectivity, and deepen bilateral economic cooperation.

Operational Features

• Real-Time Remittances: Enables instant transfer of funds from Maldivian Rufiyaa (MVR) accounts to UPI-enabled Indian Rupee (INR) bank accounts.
• Initial Banking Partners: Bank of Maldives Plc and Maldives Islamic Bank Plc through their mobile banking applications.
• Permitted Transactions: Supports family maintenance and gift-related remittances under the Maldives' foreign remittance regulations.
• Future Expansion: Planned introduction of QR-code-based merchant payments and additional cross-border digital payment services.