New Delhi, December 19: Digital payment startups Razorpay and Cashfree on Tuesday announced that they received final authorisation from the Reserve Bank of India (RBI) to operate as payments aggregators (PA). "Razorpay has now received the final authorisation from the Reserve Bank of India @RBI to operate as a Payment Aggregator (PA) under the Payment Settlements Act, 2007. We are delighted to be one of the first Payment Gateways to have received the final PA license from RBI," Razorpay wrote on X. Meta and ONDC Partner To Support Small Businesses in India for Seamless Conversation Buyer and Seller Experiences.

Cashfree also confirmed the development on X, saying: "We have received the final authorisation to operate as a payment aggregator by the RBI. We are thrilled to announce that we are now onboarding businesses on Cashfree Payment Gateway". Neobanking fintech Open has also received final approval from RBI to function as a payment aggregator. Intel Layoffs: Chip Giant Lays Off 235 Employees in Its Fifth Round of Job Cuts in 2023, More Jobs Cuts To Happen in 2024.

This comes a year after the RBI barred companies like Razorpay, Cashfree, and Stripe from accepting new merchants until they receive final approval for a PA licence. PAs are entities that allow e-commerce sites and merchants to accept numerous instruments from customers to fulfil their payment commitments without the merchants having to build their own systems. PAs collect payments from customers, pool them, then send them to merchants.

(The above story first appeared on LatestLY on Dec 20, 2023 11:14 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).