RBI Grants Nod To Cashfree Payments For Payment Aggregator License
Cashfree Payments receives "in principle" authorisation from the Reserve Bank of India (RBI) to function as a payment aggregator, according to the sources.
About 185+ firms, including CRED and PhonePay, have applied for a PA licence, a majority of which (nearly 100) were rejected by the RBI owing to tight scrutiny and prerequisites.
The payment aggregator framework, introduced formally in March 2020, mandates that only firms approved by the RBI can acquire and offer payment services to merchants.
Over the past several months, RBI has been holding presentations with payment gateway providers and other fintech firms that have applied for the license. However, it has been strict in its evaluation process.
