🪬India🇮🇳: security concerns put Alipay+🇨🇳–UPI integration in doubt

🪬India🇮🇳: security concerns put Alipay+🇨🇳–UPI integration in doubt

Indian authorities are concerned about national security and data storage issues.

😀 What's at stake: in January 2026, Alipay+ proposed a two-stage integration with UPI.

🟠 Stage I — customers in India would be able to make payments through Alipay+.

🟠 Stage II — Alipay+ would begin operating in India.

😀 Why the integration has stalled: the proposal came amid some improvement in historically strained relations between India🇮🇳 and China🇨🇳. However, Indian authorities subsequently ordered the integration to be put on hold over the potential risk of Indian users' data being leaked and the risk of money laundering.

😀 At the same time, both payment systems are undergoing rapid international expansion. UPI operates in several Southeast Asian countries, as well as France🇫🇷. Alipay+ supports payments at more than 150 million merchants in China, Hong Kong🇭🇰 and other Asian countries and continues to expand into other regions. In 2025, payments through Alipay+ were supported in 66 countries. In December 2025, Sber🇷🇺 launched the option to pay via QR codes on the Alipay platform.

😀 By 2032, the cross-border payments market in the Asia-Pacific region could reach USD 23.8 trillion, double the 2024 level. The benefits of integrating these two Asian giants are clear, but political considerations ultimately prevailed. Restrictions on Chinese companies introduced in 2020 were partially eased by the Indian government in March 2026, although Chinese operators in India remain subject to particularly strict oversight.

#news #Asia #India #China #UPI

🎭 From local bank transfers to Apple Pay worldwide: payment solutions for high-risk sectors at PayPlanet @pay_planet