PayU Gets Last RBI Approval to Act as Online Payment Aggregator
- PayU receives final RBI approval to operate as an online payment aggregator.
- Approval granted under the Payment and Settlement Systems Act, 2007.
- Joins 50+ RBI-approved aggregators like Razorpay, Cashfree, BillDesk, CCAvenue.
Fintech giant PayU, backed by Prosus, has received the last authorisation from the Reserve Bank of India (RBI) to act as an online payment aggregator under the Payment and Settlement Systems Act, 2007. This comes after over a year since it had been granted in-principle approval by the banking regulator in April 2023.
PayU now becomes part of the league of more than 50 RBI-approved online payment aggregators, which have major players like Razorpay, Cashfree Payments, CCAvenue, and BillDesk. The approval will enable PayU to keep adding new merchants and further grow its services in the expanding Indian digital payments space.
A spokesperson for PayU added, "We are happy to announce that PayU Payments Pvt. Ltd. has been granted final approval by the Reserve Bank of India (RBI) to function as an online payment aggregator. We are deeply thankful to the RBI for having reposed its trust in us and for the privilege to contribute responsibly to India's vibrant payments space".
PayU had encountered regulatory challenges in January 2023 when the RBI requested the company to reapply for the licence because of its intricate corporate structure. Later on, in August 2023, PayU disposed of a significant chunk of its global fintech business to Israeli company Rapyd for $610 million. The deal did not include PayU's Indian, Turkish, and Southeast Asian businesses.
To date in 2025, the RBI has given final sanction to nine entities to function as online payment aggregators, reaffirming its ongoing emphasis on regulating and reinforcing India's rapidly changing digital payments ecosystem.
