Amazon Pay, the fintech arm of e-commerce major Amazon, is the latest to get the coveted payment aggregator (PA) license from the Reserve Bank of India (RBI).
The regulator on February 20 gave its go ahead to the payments app to carry out business as payment aggregator, which will allow it to facilitate ecommerce transactions through its app.
As many as 10 companies have been given out the license since the start of 2024. This includes food aggregator Zomato, Juspay, Decentro, Mswipe, Zoho, Stripe among others.
The company already holds a Prepaid Payment Instruments (PPI) license to operate its wallet services-Amazon Pay balance: Money, the RBI documents shows.
“We remain committed to simplify lives and fulfill aspirations of merchants and customers. This (license) allows us to further strengthen our distribution channels and deliver innovative solutions for our merchants and customers across India providing them with secure, convenient, and rewarding digital payment experiences," said Amazon Pay spokesperson.
A payments aggregator, or PA, license allows companies to provide payment services to merchants (online businesses or e-commerce firms) by accepting payment instruments from customers.
As part of the process, PAs pool the funds received from customers and transfer them to merchants after a certain time period.
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