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The Bank of Namibia (BoN), the Namibian apex bank tied up with the National Payments Corporation of India’s (NPCI) international arm, NPCI International Payments Limited (NIPL), to develop a real-time instant payment system for the country. The partnership comes as the BoN announced it would roll out the initiative in 2025, which aims to minimise infrastructure costs for financial institutions.
The system will be modeled around India’s Unified Payments Interface (UPI) and aligns with Namibia’s 2025 National Payment System Vision and Strategy, which emphasises affordability, accessibility, and security in digital payments. According to NPCI, the system will allow seamless payments between individuals, businesses, and the government, creating a more connected financial network. The security features of the system will give users peace of mind and allow for future technological advancements.
By enabling this technology, Namibia will gain sovereignty in the digital payments landscape and stand to benefit from enhanced payment interoperability and improved financial access for underserved populations. This will also ensure scalability and adaptability to embrace future technological advancements and market demands, thereby propelling economic prosperity in the region, stated CEO of NPCI International Ritesh Shukla.
Locally, BoN has joined forces with the Ministry of Finance and Public Enterprises, along with Namclear, the national clearing house. To ensure smooth implementation, the Ministry has approved the creation of an independent special-purpose vehicle specifically dedicated to this project, which will work closely with Namclear. The new instant payment system is expected to play a crucial role in driving financial inclusion and reducing reliance on cash in Namibia.
This system aims to connect individuals, businesses, and government entities across Namibia, including the payment of social grants, enabling more efficient economic interactions, and supporting the growth of digital entrepreneurship, stated BoN Governor Johannes !Gawaxab.
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The National Payments Corporation of India (NPCI) is an initiative taken by the Reserve Bank of India (RBI) and the Indian Bank’s Association (IBA) to operate the retail payments and settlement systems in India. This organisation was founded in the year 2008 under the Payment and Settlement Systems Act, of 2007.
