Under the Reserve Bank of India (Regulation of Payment Aggregators) Direction, 2025, payment aggregators have been divided into three categories based on their work. Guidelines have also been issued by RBI for these payment aggregators.
Under which, the organization seeking authorization to start the business of payment aggregators should have a minimum net worth of Rs 15 crore at the time of applying.
Now to stop the arbitrariness of payment aggregators and to rein them in, the country’s banking regulator Reserve Bank of India has taken everything in its hands; along with this, regulation guidelines have also been issued for these payment aggregators. These final guidelines were awaited for many months. The draft guidelines were issued by the RBI in the year 2024 itself. But now the final guidelines have been issued. In which payment aggregators have been divided into three different categories according to their work. Also, different standards have been kept for all three. Let us also tell you what kind of guidelines have been issued by Barkii.
Payment aggregators divided into three categories
The country’s banking regulator, the Reserve Bank of India, has issued guidelines to regulate payment aggregators, which have come into effect with immediate effect. According to the Reserve Bank of India (Regulation of Payment Aggregators) Direction, 2025, payment aggregators have been divided into three categories according to the work they do. According to the instructions, these categories include PA-P for physical payment aggregators; PA-CB for cross border payment aggregators and PA-O for online payment aggregators. Banks do not require authorization to do the business of payment aggregators, while for non-banks, the RBI has prescribed specific capital requirements.
RBI issued this guideline
RBI in its guidelines states that the entity seeking authorization to start or continue the business of payment aggregators should have a minimum net worth of Rs 15 crore at the time of submitting the application for authorization. A minimum net worth of Rs 25 crore has to be achieved by the end of the third financial year of the authorization being granted. The guidelines include escrow accounts and fund management, cross border limits for PA-CBs and governance provisions where promoters must follow ‘fit and proper’ norms. The central bank had issued draft guidelines on PAs in April 2024, the final guidelines have been issued after receiving feedback from all stakeholders.
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