Fonepay, UnionPay launch partnership to enable seamless cross-border payments

KATHMANDU: Fonepay, Nepal’s digital payment network, and China’s UnionPay have launched a strategic partnership to enable seamless cross-border financial transactions.

UnionPay International is now live on the Fonepay network, linking digital payments in Nepal to UnionPay’s global system. The move is expected to simplify payments for visitors and support the country’s digital economy.

Zhang Maoming, Ambassador of the People’s Republic of China to Nepal, said cross-border payment has become essential. “The digital payment has become a necessity in the rapidly growing global economy. This UnionPay and Fonepay have taken a stronger financial initiative, which will benefit the people of Nepal, integrating the development of the tourism industry through this initiative,” he said.

Satyendra Timilsina, Executive Director of Nepal Rastra Bank, said the central bank is working to make QR and digital payments easier and more convenient. “Mobile payment has increased by leaps and bounds, decreasing transactions using cash or even cheques these days. Compared to our neighbouring countries, we still have a long way ahead,” Timilsina said. “We hope to build trust in people, and whatever we build will be more sustainable and a seamless payment journey inside the country,” he added.

At the launch event, Hu Binghan, Head of UnionPay International South Asia, outlined the company’s work and a pilot project that integrates AI technology into agent payments. Zhuang Bei, Vice President of UnionPay International, highlighted growing ties between Nepal and China and the benefits for tourism and financial services. “This launch is a significant step and allows QR pay across the merchant network. Nepal has seen a significant growth in Chinese visitors and tourists. This initiative will make their pay smooth while also supporting Nepal’s digital economy and financial ecosystem,” she said. She added that UnionPay will pursue further innovation to make digital payment an all-in-one solution.

Diwas Sapkota, CEO of Fonepay, recalled the network’s growth from its first transaction to connections with more than 60 banks in Nepal, and said the partnership reflects Nepal’s expanding digital links with the world. “We hope to make this a corridor of digital prosperity,” Sapkota said.

The launch featured cultural performances, including magic shows, the Kumari and Lakhey dances, and a traditional Chinese dance, underscoring the bilateral ties between the two countries.