The Reserve Bank of India on Wednesday released a list of 54 entities, including Amazon (Pay) India, Google India Digital Services, NSDL Database Management, and Zomato Payments, which can continue to operate as Online Payment Aggregators (PAs).
In a statement, the RBI said while the exercise of scrutiny of applications of PAs is an ongoing process, to disseminate information and ensure greater transparency, the list of entities that have submitted applications to R+BI seeking authorization to act as online PAs with the current status of their application as of February 15, 2023, is published.
Beijing time, according to reports, the Reserve Bank of India (RBI), the central bank of India, announced today a list of 32 entities. Allow these entities to act as online payment aggregators. This includes Google Pay, Amazon Pay, and Reliance Payment Solutions, among others.
The Reserve Bank of India stated on its website, The names were released to“disseminate information and ensure greater transparency”. Other approved entities include Zomato Payments. , Pine Labs Pvt and Infibeam Avenues. The RBI also said there were 18 other companies whose applications were still being assessed, They can continue to operate as payment aggregators for the time being.
The Payment Aggregation License allows related entities to process large volumes of payments involving payment settlements. Companies engaged in related business are required to apply for a license, as required by the Reserve Bank of India. The list has three tables.
One of the tables is on ‘Existing PAs who can operate as Online Payment Aggregators’ and has 54 names. Another table is on ‘New PAs who have been granted in-principle authorization and whose application is currently under process – Cannot operate’. It has 28 names.
The third is on the ‘List of PAs whose applications were returned/withdrawn – Cannot operate’ and has 57 entities. “All stakeholders are advised to transact with only those existing PAs who have been granted in-principle authorization or whose application is currently under process,” the RBI said.
It further said that stakeholders may transact with new PAs only after these entities have received ‘authorization’ under the Payment and Settlement Systems Act from the Reserve Bank of India. Intending to bring entities undertaking online payment aggregation business within the regulatory fold, the Reserve Bank of India issued circulars on “Guidelines on Regulation of Payment Aggregators and Payment Gateways”.
PAs are entities that facilitate e-commerce sites and merchants to accept various payment instruments from customers. They facilitate merchants to connect with acquirers. In the process, they receive payments from customers, pool, and transfer them to the merchants after some time.
As per the Guidelines, online non-bank PAs (existing as on March 17, 2020) were required to apply to RBI by September 30, 2021, for seeking authorization under the PSS Act. Later, an extension was allowed for those PAs to Paytm spokesperson said, “PPSL is already in the process of reapplication for a Payment Aggregator license, as we have mentioned in our Q3 earnings release.
As we had shared earlier, this does not have any material impact on OCL’s online business and revenues. For offline business, OCL can continue to onboard new merchants and offer them payment services including All-in-One QR, Soundbox, Card Machines, etc.” submit their application by September 30, 2022.