UAE-India introduce new payment Card Jaywan

During Indian Prime Minister Narendra Modi’s visit to the United Arab Emirates on Tuesday, a new payment card was introduced. For the UAE market, Jaywan is based on India’s digital RuPay credit and debit card stack.

Additionally, the two nations decided to connect their immediate payment systems, the UAE’s AANI and India’s UPI, in order to encourage a broader acceptance of credit and debit RuPay cards nationwide.

Following the inauguration in Abu Dhabi on Tuesday, Modi declared, “We are stepping into a new FinTech era with the launch of my UPI RuPay card and your Jaywan card.”

Experts in the banking sector were contacted by Khaleej Times to learn more about if and how UAE citizens, particularly Indians, can apply for Jaywan. The responses provided by Yusuf Mansawala, chief market analyst at CPT Markets, Dubai, and Vijay Valecha, chief investment officer of Century Financial, are listed below.

What separates RuPay and Jaywan from one another?

Vijay: India’s digital credit and debit card infrastructure is provided by RuPay, which was introduced by the National Payments Corporation of India. It is comparable to the Visa or Mastercard of India, and it was created to fulfill the RBI’s goal of creating a domestic, international, and open payment system.

Conversely, Jaywan, which is based on India’s RuPay, is the newest domestic payment card in the United Arab Emirates.

Jaywan uses interfaces that are similar to RuPay’s. Jaywan’s debut coincides with the implementation of quick payment systems as part of bilateral agreements between the two countries.

Yusuf: Since RuPay works in Indian rupees, transactions made through Jaywan are denominated in UAE dirhams, which eliminates any foreign exchange fees and currency conversion challenges that are frequently faced when utilizing RuPay for international transactions.

In what ways can Jaywan help inhabitants of the UAE, particularly Indian expats?

Vijay: The integrated domestic card system, according to India’s Minister of Commerce and Industry Piyush Goyal, will reduce currency risks and improve travel between the two countries. Both Indian RuPay cards and UAE-issued Jaywan cards can be used in both countries.

This means that carrying a lot of cash or many credit cards is no longer necessary for anyone traveling between India and the UAE—having a Jaywan card is suffice.

Additionally, users of Jaywan cards can conduct transactions in local currencies without having to deal with the hassle of currency conversion, which offers substantial benefits for regular travelers.

Similar features are offered by the Jaywan card in comparison to other local cards in the United Arab Emirates, such as the Emirates NBD Classic Card and the Dubai Islamic Bank Classic Card.

It stands out in particular for its integration with the RuPay network, which could lead to wider acceptance down the road, particularly for cross-border transactions involving India.

Can someone in the UAE apply for a Jaywan card?

Vijay: Alright. Applicants may be any resident of the UAE with a valid Emirates ID.

Why is Jaywan being introduced in the United Arab Emirates?

Vijay: Approximately 3.89 million Indians live in the United Arab Emirates, making up 37.96% of the country’s total population.

The goal of establishing such a single payment system between the two countries is to improve their current relationship. It also opens the door for more collaboration in investments in the field of digital infrastructure.

The launch of the card is a step toward strengthening the digital economy and developing trade relations between the two countries.

Yusuf: By fostering digital transactions and enabling smooth commercial interactions, its main objective is to improve trade relations between India and the United Arab Emirates.

Additionally, it works to advance financial inclusion in the UAE by providing an easy-to-use, reasonably priced payment option that caters to the needs of Indian residents in particular.

In the end, it’s a big step toward both countries’ payment systems merging, which will further financial cooperation and economic partnership.

Can Indian visitors to the UAE make use of RuPay and Jaywan?

Vijay: Alright. When making purchases in the UAE, Indian visitors can use Jaywan and Rupay.

What benefits come with owning a Jaywan card?

Vijay: RuPay charged transaction processing rates that were roughly 23% less than those of Visa and Mastercard when it was launched.

A fixed fee was charged for each transaction by the National Payments Corporation of India (NPCI), which took 30 paise from the card-issuing bank and 60 paise from the acquiring bank.

For example, when a consumer uses a RuPay card at a PoS terminal from another bank, the operating bank of the POS terminal (acquirer) pays 60 paise to the NPCI, while the customer’s bank (issuer) pays 30 paise.

RuPay-like discounts can be expected for Jaywan due to the promotion and expected popularity of the Jaywan card in the upcoming years.

Yusuf: Jaywan allows consumers to save a significant amount of money over time by minimizing cross-border transaction expenses and possibly lowering domestic fees.

Convenience is further increased by the ease of transactions within the United Arab Emirates and the potential for global acceptance through RuPay network agreements.

Finally, Jaywan makes use of the strong security framework of the RuPay network, giving customers confidence and guaranteeing the security of their transactions.

Which banks provide Jaywan and RuPay?

Vijay: Ten significant banks support the National Payments Corporation of India (NPCI), the parent company of RuPay.

These include two private banks, ICICI Bank and HDFC Bank, two international banks, Citibank and HSBC, and six state banks, State Bank of India, Bank of Baroda, Punjab National Bank, Canara Bank, Union Bank of India, and Bank of India.

The power to offer RuPay debit cards to consumers for use at ATMs, Point of Sale (PoS) terminals, and online shopping sites has been granted to Indian banks.

In the United Arab Emirates, First Abu Dhabi Bank (FAB), Abu Dhabi Commercial Bank (ADCB), Mashreq Bank, and Commercial Bank of Dubai (CBD) are the four banks that presently provide the Jaywan card.