Payment aggregator licence: RBI asks Paytm Payments Services to reapply

The Reserve Bank of India (RBI) has asked Paytm Payments Services Ltd’s (PPSL), the wholly-owned subsidiary Paytm, to reapply for the authorisation to provide payment aggregator services to online merchants.

PPSL has to resubmit the application within 120 calendar days for the payment aggregator services, as per a regulatory filing on Saturday.

The central bank has also barred PPSL from onboarding new online merchants.

The company will seek necessary approval for past downward investment from One97 Communication Ltd (OCL) into it, to comply with FDI guidelines. OCL is the parent company of Paytm.