Fonepay, LankaPay sign agreement for cross-border interoperable payment system

NL Today

  • Read Time 2 min.

Kathmandu: Fonepay, one of the payment networks in Nepal, has signed a a Memorandum of Understanding (MoU) with LankaPay, Sri Lanka’s National Payment Network.

According to a press statement issued by Fonepay, agreement has been signed to collaborate on the strategic partnership to revolutionize the digital payment landscape by developing an interoperable digital payment system that enables users to transact seamlessly across the two countries.

The MOU was signed by Diwas Kumar Sapkota, CEO of Fonepay, and Channa de Silva, CEO of LankaPay.

“With the agreement, Sri Lankan Citizens while traveling to Nepal can make instant payments by QR to the various merchants of Fonepay Network by using the mobile application authorized by LankaPay. And Nepali Citizens traveling to Sri Lanka can do the same by using Fonepay authorized payment applications. All travelers, who are initially the users of either of the network’s applications, can make the cross-border payments across merchants of these two networks in an affordable and convenient manner,” reads the statement.

According to Sapkota, “This collaboration signifies our commitment to leveraging technology to unlock new opportunities, enhance financial inclusion, and create a thriving digital economy. By joining forces, Fonepay and LankaPay are paving the way for a brighter future, where innovation and interoperability propel the economic growth of our countries to new heights. This partnership is of vital importance to us. We will be serving not just Nepal, but one of our closest South Asian neighboring countries, Sri Lanka, also in helping make cross-border digital payments fast, secure, and easy.”

Likewise, Channa de Silva said, “We are thrilled to embark on this journey of interoperability with Fonepay, as it marks a significant milestone in our mission to revolutionize digital payments in our country. This strategic partnership reflects our shared vision of creating a seamless and inclusive payment ecosystem for our customers. By bridging the gaps between our respective platforms, we are opening up a world of possibilities and empowering individuals and businesses to transact effortlessly.”

Chairperson of Fonepay and President of F1soft, Biswas Dhakal, expressed his excitement in the closing remarks by stating, “This marks a historical step towards achieving interoperability in the digital payment space not only for Fonepay but for the entire country. The interoperability between Fonepay and LankaPay is not just about convenience; it is a catalyst for economic growth. We would like to thank the Central Bank of Nepal for the support in realizing our ambition to establish a cross-border payment network with Lankapay. We also urge the two governments to work on intensifying efforts to increase cross country tourism, trade and commerce now that we will have a foundation of interoperable payment systems between the two countries.”

Fonepay is a Payment System Operator facilitating inter-bank person-to-person (P2P) and person-to-merchant (P2M) transactions through its interoperable network and mobile platforms. Fonepay is regulated by Nepal Rastra Bank (NRB) and was the first mobile payment network to be licensed by NRB as Payment System Operator (PSO).