1:00 IST – PayU just tweeted on X about, they received permission from the Reserve Bank of India (RBI) to operate as an Online, Offline (physical) and Cross-Border Payment Aggregator. In detail, they got –
- Online Payment Aggregator (PA-O)
- Offline / Physical Payment Aggregator (PA-P)
- Cross-Border Payment Aggregator (PA-CB)
This makes PayU one of the few players in India authorised across all three categories. Now they can legally handle domestic + in-store, + international payments under the RBI’s full framework.
The cross-border approval comes under RBI’s rules that regulate international payments for services, imports, exports and freelancer income. RBI introduced a compliance framework that all cross-border aggregators must follow, including routing payments through authorised banks and meeting settlement & reporting standards.
What does cross-border mean (simple)
Cross-border payments simply mean:
- Money going outside India (software tools, subscriptions, imports)
- Money coming from outside India (freelancing, exports, digital services)
RBI rules say:
- All international payments must be routed via authorised banks.
- Aggregators must show clear transaction purpose codes.
- Outward payments have limits and enhanced verification.
- Exporters, freelancers, SaaS sellers, creators and importers can use approved PAs.
What PayU offers today
PayU says it works with 4.5 lakh+ Indian merchants and supports more than 100 payment options. It also owns LazyPay, a popular small-credit or loan product used for online purchases, bill payments and EMI checkouts.
With this new approval, PayU now covers:
- Online payments
- In-store payments (POS, QR, card machines)
- Cross-border payments (inward + outward)
This puts PayU in a stronger position against competitors that operate only in online or domestic segments.
Why this approval matters
For freelancers & creators
- Easier to receive money from foreign clients
- Payments settle faster
- Better transparency due to RBI rules
For small exporters & digital businesses
- Single platform for both domestic and international customers
- Simple onboarding for sending or receiving foreign payments
For offline shops
- PayU can now offer POS machines, QR codes and other in-store payment tools under its offline licence.
India’s Top Cross-Border Payment Players (As Seen in Market & RBI Approvals)
Operate cross-border mainly through authorised dealer (AD) bank partnerships, not full standalone PA-CB approval.
| Company | Type of Cross-Border Support | Notes |
|---|---|---|
| PayU | Inward + Outward (RBI approved) | Newly authorised; supports freelancers, exporters, and digital services |
| Razorpay* | Mostly inward | Works through AD-bank rails for outward flows |
| Cashfree* | Select inward + outward routes | Uses bank partnerships for cross-border |
| Paytm Gateway* | Limited cross-border | Mostly inward via partners |
| Worldline India* | Inward flows | Global network supporting Indian merchants |
India’s cross-border payments space is still limited, with only a few players operating under direct approval or through authorised bank partnerships. PayU’s new licence places it among the top regulated names, helping Indians receive or send international payments.
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