In a significant move for India’s digital commerce landscape, PayPal Payments—the Indian subsidiary of global payments giant PayPal Holdings—has received in-principle approval from the Reserve Bank of India (RBI) to operate as a cross-border payment aggregator (PA). Alongside, fintech firm Worldline ePayments India also announced RBI’s approval to offer similar services under the Payment and Settlement Systems Act, 2007.
This regulatory green light marks a pivotal moment for India’s exporters, freelancers, and online businesses. With these approvals, both PayPal and Worldline are now authorized to facilitate cross-border online transactions involving the import and export of goods and services—an area critical to India’s growing digital economy.
For PayPal, this means much more than just compliance. The company sees this as an opportunity to deepen its footprint in the Indian market through localized product innovations and tailored user experiences. More importantly, it provides Indian enterprises—big or small—enhanced access to PayPal’s vast international payments network.
“Whether it’s a small business owner selling handcrafted goods overseas or a freelancer offering digital services, this approval helps simplify the complexities of international payments,” a PayPal spokesperson noted. The move is also expected to benefit Indian startups and MSMEs looking to tap into global markets without the friction of currency and compliance hurdles.
Worldline echoed a similar sentiment, calling the approval a major enabler for seamless international transactions, especially at a time when Indian service exports are seeing a steady rise.
The development also comes on the heels of RBI’s evolving regulatory framework. Last October, the central bank mandated that cross-border payment aggregators must obtain separate licenses, ending a decade-long reliance on the Online Payment Gateway Service Provider (OPGSP) model.
Since then, the fintech sector has responded quickly. Skydo, a rising cross-border payments platform, received RBI’s in-principle nod earlier this year, followed by BRISKPE, a PayU-backed company, which secured similar authorization in March.
As India’s role in global commerce expands, these approvals signal greater transparency, better compliance, and smoother operations in the cross-border payments ecosystem. More importantly, they reflect the RBI’s intention to foster innovation while safeguarding financial systems—striking a balance that benefits both businesses and consumers.
For now, it’s a green light for PayPal, Worldline, and others in the space to redefine how India does business with the world.
