India’s RBI authorises PhonePe as online payment aggregator

Core Insights - PhonePe has received final authorization from the Reserve Bank of India to operate as an online payment aggregator, allowing it to expand services focused on small and medium-sized enterprises (SMEs) across India [1][2] Group 1: Company Developments - PhonePe's Chief Business Officer, Yuvraj Singh Shekhawat, stated that the authorization positions the company to enhance financial inclusion by providing accessible payment solutions to previously underserved businesses, particularly in the SME segment [2] - The company serves over 650 million users and has a merchant network of 45 million as of August 2025 [2] - PhonePe plans to go public on Indian exchanges, expressing its aspiration to be a public company in India, although specific timelines and financial details regarding share issuance have not been disclosed [3] Group 2: Regulatory and Market Context - In December 2022, PhonePe moved its domicile from Singapore to India to streamline its structure and ensure full ownership of its non-payment subsidiaries [4] - Other fintech companies, such as Xflow and PayU, have also received approvals from the RBI to operate as payment aggregators, indicating a growing regulatory environment for digital payments in India [4]