The Reserve Bank of India (RBI) has injected fresh momentum into India’s booming $88.13 billion digital payments arena by granting Payment Aggregator (PA) licences to Innoviti Payments and Concerto Software. This move elevates both companies to the ranks of established players like Razorpay, Cashfree, and Amazon Pay, further intensifying competition and innovation within the sector.
The Significance of the RBI’s PA Framework
Established in March 2020, the RBI’s PA framework mandates a licence for any entity onboarding merchants and providing them with digital payment acceptance solutions. An RBI PA licence signifies a company’s adherence to rigorous regulatory standards and operational excellence. This, in turn, fosters trust and bolsters security within the digital payments ecosystem, giving consumers and businesses greater confidence in online transactions, which are projected to reach a staggering ₹70.35 trillion ($847.8 billion) by 2026 .
Innoviti Payments and Concerto Software
Innoviti Payments, with its ‘Innoviti Link’ platform, currently empowers over 2,500 online merchants to accept digital payments. The RBI’s PA licence strengthens their position as a key player facilitating seamless ecommerce transactions. Similarly, Concerto Software’s ‘Vegaah’ payment gateway now joins the ranks of authorized PA solutions, showcasing their commitment to innovation and secure online transactions.
More Players Join the Authorized PA Roster
The RBI’s approval for Innoviti Payments and Concerto Software comes alongside a wave of other entities receiving PA licences in 2024. This distinguished list includes notable names like Infibeam Avenues, JusPay, Stripe, and Tata Payments, bringing the total to 13. This expanding pool of authorized PAs reflects the active participation of a diverse range of fintech companies in the digital payments sector, which is expected to contribute significantly to India’s ambition of becoming a $5 trillion economy by 2025 [Source: Invest India]. This surge in participation aligns with evolving consumer preferences for faster, more convenient payment options, and keeps pace with a rapidly changing regulatory environment.
A Brighter Future for Digital Payments in India
The RBI’s approval for Innoviti Payments and Concerto Software underscores its commitment to fostering a robust, secure, and competitive digital payments landscape in India. With a growing number of authorized PAs, businesses and consumers can expect a wider array of secure and efficient payment options. This not only empowers consumers but also fuels the growth of the digital economy by making it easier for businesses of all sizes to participate in the online marketplace, which is anticipated to reach 900 million users by 2030 . As the digital payments sector thrives, we can expect further innovation and a more seamless experience for all stakeholders involved.
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