According to Odaily Planet Daily, India has reached agreements with Sri Lanka, Bhutan, and Nepal, and plans to include the UAE in its cross-border settlement program.
Additionally, India is exploring the use of Central Bank Digital Currency (CBDC) as the main settlement mechanism for cross-border payments. Currently, India's CBDC is a bank-to-bank solution, rather than a consumer-facing central bank digital currency.
In the future, India may expand the CBDC to most retail consumers, but a timeline for mass retail CBDC has not yet been provided.