PayU has received integrated authorisation from the Reserve Bank of India (RBI) to operate as a payment aggregator for online, offline and cross-border transactions under the Payment and Settlement Systems Act.
The authorisation enables the firm to handle transaction collection and fund movement for merchants in physical and digital environments, along with processing inbound and outbound international payments.
As part of the licence conditions, PayU is allowed to onboard businesses, manage payment flows and execute settlements in accordance with the regulator’s rules.
The company said the approval broadens its reach in supporting merchants through a single payments infrastructure. According to a company representative, the clearance confirms PayU’s scope to manage domestic and overseas transactions under regulatory oversight.
The regulator’s nod places PayU among entities authorised to offer end-to-end aggregation services. The firm currently powers payments for enterprises that use cards, UPI, net banking and other online instruments.
RBI’s guidelines for payment aggregators require compliance with minimum capital thresholds, governance standards and security protocols for operations spanning multiple categories. With this approval, PayU can continue enrolling merchants and extending its services while adhering to the mandated framework.
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