Overview

• The Reserve Bank of India on May 28 granted in-principle approval to PayPal Payments Private Limited under the PA-CB-E framework.
• The nod enables PayPal’s Indian subsidiary to process outbound payments for merchants, freelancers and small businesses exporting to around 200 markets.
• PayPal’s India arm has focused exclusively on export payments since ceasing domestic operations in 2021 and the new approval solidifies its place in the regulated fintech sector.
• India’s merchandise exports rose to $73.8 billion in April, underscoring growing demand for reliable cross-border payment platforms among exporters.
• Rival firms Cashfree Payments, Amazon Pay and Adyen secured similar aggregator licences in mid-2024, while startups GoBrisk and Skydo expand specialised infrastructure for Indian exporters.