What’s happening? Payments and banking platform for merchants, Razorpay announced on July 11 that it has received the Reserve Bank of India’s (RBI) in-principle approval for a Payment Aggregator (PA) license, news agencies reported. The RBI has also approved the same for three other major payment gateways: 1Pay, Stripe and Pine Labs. Other major players are also expected to get the banking regulator’s approval for the license. What are payment aggregators? Payment aggregators facilitate merchants to connect with acquirers. These entities enable e-commerce sites and merchants to accept various payment instruments from customers for completion of their payment obligations, without the need for merchants to create a separate payment integration system of their own. In the process, they receive payments from customers, pool and transfer them to the merchants after a while. As per RBI guidelines, payment aggregators need to…
