PayU has been granted comprehensive authorization from the Reserve Bank of India (RBI) to function as an integrated payment aggregator, covering online, offline, and cross-border transactions under the Payment and Settlement Systems Act.
Key Highlights of the Authorization:
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Integrated Scope: The approval permits PayU to manage transaction collection and fund movement for merchants in both physical and digital environments.
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International Payments: PayU is now authorized to process both inbound and outbound international payments.
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Expanded Services: Under the license conditions, the firm can onboard new businesses, manage payment flows, and execute settlements, bolstering its capacity to support merchants through a single payments infrastructure.
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Regulatory Compliance: The clearance confirms PayU’s scope to manage domestic and overseas transactions under the RBI’s regulatory oversight, ensuring adherence to mandated frameworks, including minimum capital thresholds, governance standards, and security protocols.
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Market Position: This authorization positions PayU among the select entities approved to offer end-to-end payment aggregation services, powering payments for enterprises using cards, UPI, net banking, and other online instruments.
The company stated that this approval significantly broadens its reach and confirms its compliance with the regulator’s stringent guidelines for payment aggregators.
By: Sandhya Bharti
