Infibeam Avenues, India’s first listed platform and payments infrastructure company, has received ‘in-principle’ approval from RBI to operate as a Payment Aggregator.
Under this provision, the fintech player will get a substantial boost to further expand its reach in multiple business segments for both online and recently launched offline digital transactions.
“We are pleased to inform you that the Reserve Bank of India has granted in-principle authorisation to operate as a payment aggregator under the Payment and Settlement Systems Act, 2007 to the company,” it said in an exchange filing.
Following the announcement, shares of Infibeam Avenue soared 20% to Rs 17.36. The scrip settled at Rs 14.47 on Thursday.
Infibeam has the highest portfolio of payment options for merchants with over 200 plus multi-currency payment options in India along with a run rate of 4 lakh crore annually across the platform, the company said.
Infibeam’s flagship brand CCAvenue is well placed to leverage the new role as a payment aggregator and help bring a greater number of micro-entrepreneurs under the fold of e-commerce.
Vishal Mehta, Managing Director, Infibeam Avenues said it is a vital development as it energises the vision and mission to build India’s biggest digital payment infrastructure company.
“Our flagship payments brand CCAvenue is already one of the top payment gateway brands in India, delivering superior digital products & services to the majority of the financial institutions, SMEs, MSMEs and merchants,” he added.
In March 2022, the RBI had issued a framework for payment aggregators in India. Under this framework, payment aggregators are mandated to obtain a license for acquiring merchants and provide them with digital payments acceptance solutions.
Payment aggregator also provides an easy and affordable way of accepting payments to help small businesses adapt to digitalways in a streamlined manner.