PayPal, Worldline receive RBI's in-principle nod to operate as cross-border payment aggregator

PayPal Payments (PayPal), the Indian subsidiary of PayPal Holdings, has received in-principle approval from the Reserve Bank of India (RBI) to operate as a cross-border payment aggregator (PA), the company said in a statement.

Another fintech company, Worldline ePayments India, announced that the central bank has approved its licence to operate as a cross-border PA under the Payment and Settlement Systems Act, 2007.

This authorisation enables the companies to facilitate cross-border online transactions for the import and export of goods and services.


PayPal said this opens new avenues for localised product innovations and improved customer experiences for customers, along with enhanced access to PayPal’s global payment network for large enterprises, small businesses, and freelancers in India.

Last October, the RBI had asked aggregators offering cross-border payments to secure separate approval. Before that for almost a decade, payment companies had been operating with an Online Payment Gateway Service Provider or OPGSP licence.

The cross-border payment business is a major opportunity in India, given the huge remittance into the country annually. India is also a hub for freelancers and software service companies, which cater to many clients worldwide. Now, non-bank payment companies can serve these businesses.