Fampay, through its parent company Trio, has introduced a new revenue-generating venture with the launch of Namaspay, a UPI-enabled payment app designed specifically for foreign travelers visiting India. The app provides a convenient payment solution for tourists from regions such as Europe, Africa, Australia, and the US.
Namaspay is a standalone app that charges travelers Rs 1,650 as a one-time registration fee, along with a 4% fee for loading money and a 1% fee for withdrawals. As UPI-based payment apps have largely replaced cash transactions in urban areas across India, Namaspay appears to be well-positioned to meet the needs of international visitors. In August alone, the UPI network, operated by the NPCI, processed nearly 15 billion transactions, highlighting its widespread adoption.
Given UPI’s extensive acceptance in India, it provides a seamless alternative to carrying cash for foreign tourists. This offering has the potential to address a notable gap in the UPI ecosystem, which until now has seen limited competition in the space for international users, with Cheq being one of the few rivals. Namaspay has the opportunity to bridge the profitability gap that has affected many UPI providers, as UPI remains a minor contributor to revenue for companies involved in the ecosystem.
In 2023, India welcomed 92 million foreign tourists, many of whom rely on either cash or plastic money for payments. This suggests a growing market for UPI-based solutions like Namaspay and Cheq. However, industry experts caution that if this segment becomes profitable, larger players like PhonePe and Paytm could introduce similar offerings to tap into the space.
Namaspay represents Fampay’s broader strategy to explore new use cases within the UPI framework. It remains to be seen how the NPCI will respond to the commercialization of this space, especially as monetization gains momentum and new benchmarks may be established.
Originally launched as a teen-focused neo-banking platform, Fampay has since shifted its focus to becoming a full-fledged UPI app, similar to PhonePe and Paytm. The company invested over Rs 200 crore in developing fintech solutions for users under 18. Despite raising $38 million in a Series A round, Fampay’s lifetime revenue has been under Rs 15 crore.
In July, Fampay processed 52 million UPI transactions, demonstrating rapid growth and securing a position in the top 10 UPI apps within a year of its pivot. Namaspay is operated by TrioTech, a subsidiary of Pehe, with Fampay co-founders Sambhav Jain and Kush Taneja listed as the app’s owners in regulatory filings.
