23 April 2024 — PayU, a prominent digital payments company, has achieved a significant milestone with the Reserve Bank of India (RBI) granting it in-principle authorization to operate as a payments aggregator (PA) under the Payment and Settlement Systems Act, 2007.
This approval enables PayU to onboard new merchants onto its platform, enhancing its capabilities and expanding its reach in the digital payments ecosystem.
Expressing gratitude for the RBI’s validation, PayU CEO Anirban Mukherjee emphasized the company’s commitment to compliance, corporate governance, and its mission to establish a robust digital payment infrastructure in India, aligned with the government’s Digital India initiative and RBI’s progressive regulations.
This development aligns with a broader trend in the digital payments landscape, with other players like CRED also securing in-principal approval from RBI for a PA license. The increasing number of digital payment entities obtaining PA licenses highlights the sector’s dynamism and the focus on fostering financial inclusion and digitisation.
Conclusion:
PayU’s RBI approval as a payment aggregator signifies a step forward in its mission to drive digitisation, enable financial inclusion for small merchants, and contribute to India’s digital transformation journey under regulatory frameworks conducive to innovation and growth in the fintech sector.
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