India pitches UPI, GIFT City and insurance reforms to Canadian investors

Finance Minister Nirmala Sitharaman invited deeper Canadian investment in India, highlighting UPI’s payments scale, GIFT City and 100% foreign direct investment allowance in insurance. The outreach could support future fintech and payments-infrastructure partnerships.

— Source publishedWed, 26 Aug, 2026, 12:19 IST·First seen Wed, 26 Aug, 2026, 12:53 IST·Source NDTV Profit

What happened

Unified Payments Interface (UPI) · Finance Minister Nirmala Sitharaman invited deeper Canadian investment in India, highlighting GIFT City, liberalised

Key facts

  • 100% FDI permitted in insurance

Why this matters

Canadian banks, insurers and fintechs should assess UPI-linked payment partnerships, GIFT City structures and insurance-market entry opportunities while access conditions are being promoted.

What to watch

  • Announcement of a Canadian bank, payments network or fintech joining an UPI-related cross-border payment corridor.
  • National Payments Corporation of India agreements involving Canadian payment rails, remittance providers or merchant acquirers.
  • New GIFT City licenses, fund launches or offices by Canadian financial institutions and pension-backed investors.
  • Concrete insurance-sector foreign-investment rule implementation, including ownership, capital and operating requirements.
  • Changes to India-Canada trade, investment, data-governance or diplomatic conditions that affect financial-services partnerships.
  • Canadian banks and payment networks should assess UPI interoperability, remittance corridors and merchant acceptance opportunities serving India-Canada travel, students and diaspora.
  • Retailers with India sourcing or customer exposure should monitor whether payment providers introduce lower-cost INR-CAD settlement and UPI-enabled checkout options.
  • Fintechs should evaluate GIFT City structures for India-facing treasury, cross-border settlement, fund management and regulated innovation activity.
  • Insurers and insurtech vendors should map opportunities created by 100% foreign direct investment rules, especially distribution technology, embedded protection and claims automation.