Maldives' Favara instant payment system linked with India's UPI; cross-border corridor goes live
On 30 July 2026 the integration of the Maldives Instant Payment System 'Favara' with India's UPI went live, letting people in the Maldives send money in real time to UPI-enabled bank accounts in India.
Summary
The Maldives Monetary Authority (MMA) announced the go-live of the integration between the Maldives Instant Payment System 'Favara' and India's Unified Payments Interface (UPI) on 30 July 2026. Transfers start in Maldivian Rufiyaa and are credited in Indian Rupees via UPI; in the first phase Bank of Maldives and Maldives Islamic Bank customers can make person-to-person transfers. The agreement was signed between NPCI International Payments Limited (NIPL) and MMA in July 2025, and the RBI was part of the collaboration. QR-based merchant payments are planned in later phases.
Key facts
- Link
- Favara (Maldives) – UPI (India)
- Go-live
- 30 July 2026
- Direction
- Maldives to India, MVR debited, INR credited
- First-phase banks
- Bank of Maldives, Maldives Islamic Bank
- Agreement
- NIPL and Maldives Monetary Authority, July 2025
- Next
- QR-based merchant payments
Practice MCQs 2 questions
'Favara', which was linked with India's UPI in July 2026, is the instant payment system of which country?
Show answer
Correct answer: D — Maldives
Favara is the Maldives Instant Payment System; its integration with UPI went live on 30 July 2026.
Consider the following statements about the Favara–UPI link (July 2026): 1. The agreement for it was signed between NPCI International Payments Limited and the Maldives Monetary Authority in July 2025. 2. In the first phase, Indians can pay merchants in the Maldives by scanning QR codes. Which of the statements given above is/are correct?
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Correct answer: A — 1 only
The NIPL–MMA agreement was executed in July 2025. The first phase allows person-to-person transfers from the Maldives to India; QR-based merchant payments are planned for later phases.