In a significant development for the fintech industry, PayU has received an in-principle approval from the Reserve Bank of India (RBI) to operate as a payment aggregator. This approval marks a key milestone for PayU, enabling it to expand its digital payment services and enhance financial inclusion for businesses in India.
Previously in January 2023, RBI had requested PayU, a Prosus Group company, to resubmit its payment aggregator application within a 120-day period. PayU has successfully addressed the RBI’s requirements and has now received the in-principle approval.
With this approval in place, PayU can now onboard new merchants and provide them access to a comprehensive suite of digital payment services, enabling them to accept payments from customers seamlessly and securely. This move is expected to provide a significant boost to small and medium-sized merchants by simplifying their payment acceptance processes and fostering the adoption of digital payments in India.
Commenting on the RBI’s approval, Anirban Mukherjee, Chief Executive Officer (CEO) of PayU, said, “This license is a pivotal step in our mission to establish a globally renowned digital payment infrastructure rooted in India. Aligned with the government’s Digital India initiative and the RBI’s forward-thinking regulations, we are dedicated to driving digitisation and financial inclusion, particularly for small merchants.”
PayU’s payment aggregator license will allow the company to further contribute to India’s digital payments ecosystem and provide innovative payment solutions to its customers. As a leading fintech player, PayU has a proven track record of offering secure and convenient payment services to businesses and consumers. This approval from RBI is a testament to PayU’s commitment to fostering financial inclusion and supporting the growth of the digital payments landscape in India.
