UPI Abroad 2026: Countries, Charges and TCS

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For information only, not financial advice. Charges, limits and tax rules can change, so check with your bank or UPI app before you travel.

Can you pay with UPI on your next foreign trip? In a growing number of places, yes. As of late October 2026, Indian travellers can scan a QR code and pay from their Indian bank account in about ten countries, including the UAE, Singapore, France, Sri Lanka, Nepal and Cambodia. But “UPI works there” rarely means “UPI works everywhere there”, and the cost is not always as low as paying at home. This guide explains where UPI is accepted, what it really costs, how the 2026 tax (TCS) rules apply, and when a card or cash is still the better choice.

Why this is in the news this week

On 22 October 2026, Pine Labs announced a tie-up that lets Indian visitors use UPI and Indian-issued debit and credit cards at participating payment terminals in Sri Lanka, with apps such as Google Pay, PhonePe and BHIM, as reported by Lanka Newspapers. A GoCredit summary of the CNBCTV18 report (22 October 2026) adds that the partner on the Sri Lankan side is WEBXPAY and that acceptance is limited to participating terminals, not every shop.

This sits on top of an older route: since earlier in 2026, Indian tourists have also been able to scan LankaQR codes at merchants such as hotels, supermarkets and cafés, according to Outlook Money (18 March 2026). The same report says about 5.31 lakh Indians visited Sri Lanka in 2025, up from 4.16 lakh in 2024, so this matters to a lot of travellers heading into the winter holiday season.

Where UPI works abroad (October 2026)

Different sources count the countries differently, partly because some launches are pilots or cover only a few merchants. The table below lists what we could confirm from reports read on 27 October 2026.

Country	How it works for Indian visitors	What to keep in mind
Sri Lanka	Scan LankaQR codes; also Pine Labs–WEBXPAY terminals (October 2026)	Only at participating merchants; carry some Sri Lankan rupees
Cambodia	Scan KHQR codes via NIPL–ACLEDA Bank link, live since 2 June 2026	Reported 4.5 million+ KHQR merchant locations
UAE, Singapore, France, Mauritius, Nepal, Bhutan, Qatar	Merchant QR payments through local partners	Acceptance varies by shop; check for a UPI or partner logo
Greece	Eurobank–NIPL partnership, announced mid-2026	Reports disagree on whether tourists can pay merchants (see below)

Sources: Outlook Money (Sri Lanka, 18 March 2026; Cambodia, 2 June 2026), Greek City Times (6 July 2026), GoCredit/CNBCTV18 (22 October 2026).

For Cambodia, Outlook Money (2 June 2026) reported that the KHQR link is phase one of the partnership and that more than 4.5 million merchant locations accept KHQR. The same article listed Bhutan, Cambodia, France, Mauritius, Nepal, Qatar, Singapore, Sri Lanka and the UAE as countries accepting UPI.

The Greece confusion

Greece is often called the “10th UPI country”, but the details are unclear. Outlook Money (22 May 2026) described Eurobank’s service as a remittance product for Eurobank account holders sending money from Greece to India, and said it did not cover tourist QR payments. Greek City Times (6 July 2026), however, described payments at partner merchants for Indian visitors, with limited acceptance at first. If you are going to Greece, treat UPI as a bonus and plan to pay mainly by card.

What does it cost to pay with UPI abroad?

At home, UPI feels free. Abroad, there is always a currency conversion: you see the price in local currency, and your bank debits rupees at its own exchange rate. That rate is where the cost hides, and sources do not agree on how big it is.

A Whalesbook explainer (18 October 2026) puts the conversion markup charged by banks and apps at roughly 1.5% to 3.5%.
The GoCredit summary of the Sri Lanka news suggests UPI can avoid a separate forex markup, but it does not give a full breakdown of charges.
Outlook Money notes that the app shows the exchange rate at the time of payment, so you can see the rupee amount before you confirm.

Our reading: there is no single “UPI rate”. The effective cost depends on your bank, so the practical step is to compare the rupee amount shown in the app with the mid-market rate (any currency converter will do) on your first small payment. If the gap looks larger than your card’s markup, switch to the card for big bills.

Does TCS apply to UPI payments abroad?

This is where many social media posts get it wrong. The 2% TCS rate that Budget 2026 introduced is for overseas tour packages, where it now applies to every rupee with no threshold, as explained by Outlook Money (5 February 2026). It is not a flat tax on every payment you make on holiday.

For other spending under the Liberalised Remittance Scheme (LRS), Standard Chartered India’s TCS notice (rates from 1 April 2026) shows:

Type of spend	TCS from 1 April 2026
Overseas tour package	2% on each payment, no threshold
Education or medical (not loan-funded)	Nil up to ₹10 lakh a year, 2% above
Other LRS purposes (includes forex cards and overseas debit card use)	Nil up to ₹10 lakh a year, 20% above
International credit card spends abroad	Not treated as LRS “until further notice”, so no TCS

Source: Standard Chartered India TCS notice, read 27 October 2026.

UPI abroad debits your savings account directly, so it behaves more like debit card spending than credit card spending. Banks have not published a separate UPI line in these tables, so confirm with your bank how it counts UPI International towards your ₹10 lakh yearly LRS limit. For a typical holiday, you will stay well below ₹10 lakh and pay no TCS on everyday purchases either way. Any TCS that is collected can be adjusted against your income tax when you file your return.

UPI vs forex card vs credit card: which to use when

Option	Best for	Watch out for
UPI International	Small payments at shops with a UPI or partner QR code	Patchy acceptance; bank’s exchange rate; needs data and a charged phone
Forex card	Budget control; rate fixed when you load it	Counts under LRS; reload and cross-currency fees vary
International credit card	Hotels, car hire, deposits, bigger bills	Forex markup unless your card waives it; pay the bill in full
Local cash	Markets, taxis, tips, small towns	Exchange margins; carrying risk

If you use a credit card abroad, avoid the habits that hurt your score, such as paying only the minimum due. Our guide to credit card mistakes that hurt your CIBIL score covers them.

How to set up UPI before you fly

Check your bank supports it. Not every bank account can be enabled for international UPI. Look in your UPI app or ask your bank a few days before travel.
Turn on “UPI International”. In Google Pay, PhonePe, BHIM or your bank’s app, the option usually sits in profile or payment settings. Choose the bank account and confirm with your UPI PIN.
Note the end date. Activation is time-limited. Reports give different validity periods (from a week to around 90 days, depending on the app), so check the end date shown in your app and make sure it covers your whole trip.
Know your limit. Reports put the cap at around ₹1 lakh (per transaction or per day, depending on the source), and banks can set lower limits.
Plan for no signal. UPI needs mobile data. Arrange a roaming pack or local SIM/eSIM, and keep your phone charged.
Switch it off when you are back. Turning off international UPI after the trip reduces the risk of misuse.

Because your phone becomes your wallet, a small power bank is worth packing. For example, the Amazon Basics 10,000mAh power bank with a built-in USB-C cable is one compact option; check your airline’s rules on carrying power banks before you fly.

Practical tips to avoid failed or costly payments

Look for the right QR code. In Sri Lanka it is LankaQR or a participating terminal; in Cambodia it is KHQR. A random local wallet QR may not work.
Do a small test payment first (a coffee or a bottle of water) to confirm the app works and to see the rate.
Never leave without a backup. Carry a card and some local cash. Payments can fail because of network issues or settlement delays.
Keep the payment screen until the merchant confirms receipt, in case of disputes.
Use the card for big bills like hotels if your card’s markup is lower than the rate your bank applies to UPI.

Planning a short international break? Sri Lanka, Nepal and Bhutan are all on the UPI list and appear in our round-up of the cheapest countries to visit from India. You can also see countries where the Indian rupee goes further. To compare fares, try Skyscanner’s flights to Sri Lanka or our cheap air tickets page.

FAQ

Can I use UPI in the USA or UK as a tourist?

Not for paying shops. The US and UK are not on the merchant-payment list. Outlook Money notes that people with international mobile numbers (mainly NRIs) can access UPI in over 12 countries, including the US and UK, but that is about linking an Indian bank account to a foreign number, not paying local merchants.

Will the shop receive rupees or local currency?

The merchant is paid in local currency through the partner network, and your Indian account is debited in rupees. Your statement shows the rupee amount.

Is UPI cheaper than a forex card abroad?

Sometimes, but not always. It depends on the exchange rate your bank applies to UPI versus your forex card’s rate and fees. Compare on a small payment before relying on either for large amounts.

Bottom line

UPI abroad is now genuinely useful in Sri Lanka, Cambodia, Nepal, Bhutan, the UAE, Singapore and a few other places, and this week’s Sri Lanka tie-up widens acceptance further. But it is a convenience, not a full replacement for a card. Turn it on before you travel, test it with a small payment, check the rupee amount against the market rate, and keep a credit or forex card plus some cash for everything UPI cannot handle. Rules and partner lists change quickly, so check your bank’s app and the latest announcements just before you leave.