Favara-UPI Link: Maldives-to-India Instant Remittance Corridor
Why in the news
The Maldives Monetary Authority switched on a link joining its Favara instant payment system to India’s UPI, so people in the Maldives can send money to India in real time.
Key facts
- Go-live: 30 July 2026, launched by the Maldives Monetary Authority (MMA).
- Systems joined: Favara Instant Payment System and Unified Payments Interface (UPI).
- Transfer type: person-to-person (P2P), instant and low-cost.
- Currency flow: sent in Maldivian Rufiyaa (MVR), credited in Indian Rupees (INR).
- Build time: a 10-day implementation, from testing to live validation.
- Allowed uses: family-maintenance remittances and gifts, within Maldivian remittance rules.
Background
- The corridor grows out of an agreement that NIPL and the MMA signed in July 2025.
- Partners: MMA, RBI and NIPL (the NPCI arm for international payments), plus the banks.
- Next phase: QR-based merchant payments.
- UPI now works in nine countries, e.g. Singapore, the UAE, France, Nepal and Sri Lanka.
Exam angle
- Pair to remember: Favara (Maldives) with UPI (India).
- Currencies: MVR sent, INR received.