Published on
October 19, 2025
In a significant move to make travel more convenient for Indian tourists, Japan is set to allow the use of Unified Payments Interface (UPI) for transactions. The agreement comes as a result of a Memorandum of Understanding (MoU) signed between NPCI International Payments Limited (NIPL) and NTT DATA Japan, marking the first implementation of UPI in East Asia. This collaboration will enable Indian tourists in Japan to make seamless payments by scanning QR codes at participating merchants, significantly reducing the reliance on cash or foreign exchange cards.
The partnership, which will be officially rolled out in the coming months, is expected to simplify digital transactions for Indian visitors, allowing them to use their UPI-enabled apps for payments at select outlets across Japan. This initiative comes as the number of Indian tourists visiting Japan continues to rise, and it reflects the growing global acceptance of India’s homegrown payment system, UPI. By allowing tourists to pay directly through their smartphones, Japan is taking a step toward making its tourism sector more inclusive and accessible for visitors from India.
Key Highlights of the UPI Payment System in Japan:
- Convenience: Indian tourists will soon be able to make payments using their UPI apps at various merchants in Japan by scanning QR codes.
- Collaboration: The MoU between NPCI International and NTT DATA Japan enables UPI payments in Japan, making transactions easier for Indian visitors.
- Global Reach of UPI: Japan becomes the latest country to integrate UPI, following in the footsteps of countries such as France, UAE, Nepal, Mauritius, Peru, Singapore, Sri Lanka, Qatar, and Bhutan.
- Increasing Tourism: With over 208,000 Indian tourists visiting Japan in 2025, the introduction of UPI is expected to boost tourism further by offering a more convenient payment option.
- Security: UPI is known for its secure and user-friendly transaction model, ensuring that tourists can make payments without any hassle.
The Growing Popularity of UPI for Cross-Border Payments
The integration of UPI into international markets is a major achievement for India, further cementing its role in global digital payments. Since its inception, UPI has revolutionized the way people make transactions within India, and its growing acceptance across the globe is a testament to its efficiency and reliability.
Currently, Indian travelers can already use UPI to pay in France, UAE, Nepal, Mauritius, Peru, Singapore, Sri Lanka, Qatar, and Bhutan. Japan’s addition to this list is a significant milestone, not only because of the number of Indian tourists visiting the country but also because it represents the first introduction of UPI in East Asia.
What Does This Mean for Indian Tourists in Japan?
For Indian tourists planning to visit Japan, the ability to use UPI will eliminate the need for carrying large sums of cash or relying on forex cards, which can often come with hidden fees. By simply scanning a QR code using their UPI-enabled apps, tourists can make payments at retail stores, restaurants, and other establishments that have adopted the new payment system. This will provide a faster, more convenient, and secure payment method, streamlining the travel experience for Indian visitors.
Japan’s Growing Appeal for Indian Tourists
The introduction of UPI payments in Japan comes at a time when Indian tourism to Japan is experiencing significant growth. According to reports, over 208,000 Indian tourists visited Japan between January and August 2025. This surge in tourism is expected to continue as more Indians choose Japan as a travel destination due to its unique culture, history, and modern amenities.
With Japan now embracing UPI, it will become easier for Indian tourists to engage with the local economy, leading to increased spending and a boost to Japan’s tourism sector. Japanese merchants, in turn, will benefit by capturing more business from the growing number of Indian visitors.
What is UPI and Why is It So Popular?
Unified Payments Interface (UPI) is a real-time payment system developed by the National Payments Corporation of India (NPCI). It enables users to link multiple bank accounts to a single mobile application and make instant payments using their smartphones. UPI transactions are completed using QR codes or mobile numbers, making it a highly convenient and secure method of payment.
UPI has revolutionized digital payments in India, with millions of people using the platform to pay for goods, services, bills, and even make investments. It is expected to continue expanding internationally, as more countries recognize the convenience and security that it offers to both consumers and merchants.
Impact on Japan’s Retail and Tourism Sectors
The collaboration between NPCI and NTT DATA Japan is expected to have a profound impact on Japan’s retail and tourism sectors. By integrating UPI into the country’s CAFIS card payment network, which is Japan’s largest card payment processing system, this collaboration will make it easier for Indian tourists to make payments at a wide variety of merchants.
The move is also expected to benefit Japanese retailers who will now be able to tap into the growing market of Indian tourists who are increasingly seeking seamless payment options during their travels abroad. It will provide them with the ability to accept digital payments from a growing customer base, thereby improving their business potential.
Conclusion: Strengthening India-Japan Tourism Ties
The launch of UPI payments in Japan marks an important step in strengthening the tourism ties between India and Japan. With both countries experiencing significant growth in tourism, particularly among Indian travelers, the introduction of this convenient digital payment solution is sure to enhance the overall travel experience.
As the world becomes increasingly digital, UPI is paving the way for financial inclusion and cross-border payments. India’s initiative to take UPI to foreign markets demonstrates the country’s growing influence in the global digital economy. The success of this initiative in Japan could pave the way for similar partnerships in other countries, further establishing UPI as a global leader in digital payments.
Key Takeaways:
- Indian tourists visiting Japan will soon be able to make payments via UPI apps, simplifying transactions and reducing reliance on cash.
- The MoU between NPCI International and NTT DATA Japan will enable NTT DATA-acquired merchants to accept UPI payments through QR codes.
- Japan becomes the latest country to adopt UPI, following nations like France, UAE, Nepal, Mauritius, Peru, and Singapore.
- The agreement aims to improve convenience for Indian tourists while strengthening Japan’s tourism ecosystem.
- This partnership reflects India’s growing role in global digital payments, further promoting financial inclusion.
India’s UPI system continues to expand its global footprint, offering Indian tourists a seamless experience as they travel the world, and Japan is the latest country to embrace this innovative payment method.
link