Paytm gets RBI extension to file PA license application

27 Mar 2023 , 09:27 AM

Paytm (One 97 Communication Limited) informed that the company has recently received an extension of time from RBI for resubmitting the application. 

According to a letter received from the Reserve Bank of India (RBI), PPSL has been granted permission to continue its Online Payment Aggregation business, while it awaits approval from the Government of India (GoI) for a previous investment made by OCL into PPSL in accordance with FDI Guidelines, said Paytm in its filing.

As per the RBI letter, once PPSL obtains approval from the GoI, it will have a 15-day window to submit an application to be authorized to operate as an online Payment Aggregator (PA). However, if the GoI makes an unfavourable decision, the RBI must be notified immediately. PPSL can continue its online payment aggregation business for existing partners during this time without onboarding any new merchants.

PPSL has stated that the communication received from RBI will not significantly affect its business or revenues since it only pertains to the onboarding of new online merchants. 

The company can still provide payment services to its existing online merchants, and OCL can continue to onboard new merchants for its offline business, offering payment services such as All-in-One QR, Soundbox, and Card Machines.

For feedback and suggestions, write to us at [e-mail]