reserve Bank of India
Now the country’s banking regulator Zirv Bank of India has taken all the things to stop the arbitrariness of the payment aggregators and curb them; Along with this, regulations guidelines have also been released for these payment aggregators. These final guidelines were waiting for many months. The draft guideline was released by RBI in the year 2024 itself. But now the final guidelines have been released. In which the payment aggregators have been distributed in three different categories in terms of their work. Also, different standard have been kept for all three. Let us also tell you what kind of guidelines have been released by Barkii.
Payment Agriculture distributed in three categories
The country’s banking regulator has issued a guideline to regulate the payment aggregators, which have come into force with immediate effect. According to the Reserve Bank of India (Regulation of Payment Agriculture) direction, the payment aggregators have been divided into three cat garij as per their work. According to the instructions, PA-P for Physical Payment Agrails in these cat gridges; PA-CB for cross border payments aggregators and PA-O for online payment aggregators. Banks do not require authorization to do business of payment aggregators, while for non-banks, RBI has set the need for specific capital.
RBI released this guideline
Its guidelines on behalf of the RBI say that the Authorization -seeking institution to start or continue the business of payment agents should have a minimum net worth of Rs 15 crore while submitting the application for autonomy. By the end of the third financial year after the authorization is provided, Minimim will have to get a net worth of Rs 25 crore. The guidelines include escrow accounts and fund management, cross border limit for PA-CB and governance related provisions, where promoters must follow the ‘appropriate and appropriate’ norms. The central bank released a draft guidelines on PA in April 2024, final guidelines have been released after receiving feedback from all stakeholders.