The Reserve Bank on Thursday brought all entities facilitating cross-border payment transactions for the import and export of goods and services under its direct regulation.
RBI has decided to regulate entities facilitating payment and settlement for online cross-border export /import transactions as Payment Aggregators – Cross Border (PA-CB) under the Payment and Settlement Systems Act, the central bank said in a circular.
"Keeping in view developments in the area of cross-border payments, it has been decided to bring all entities facilitating cross-border payment transactions for import and export of goods and services under the direct regulation of the RBI," it said.
Such entities will be treated as Payment Aggregator-Cross Border (PA-CB), the RBI said.
According to the circular, non-banks providing PA-CB services should have a minimum networth of Rs 15 crore at the time of submitting applications to the RBI for authorisation and a minimum networth of Rs 25 crore by March 31, 2026.
New non-bank PA-CBs (entities which have not commenced operations yet) should have a minimum networth of Rs 15 crore at the time of submitting applications to the RBI for authorisation and should attain a minimum networth of Rs 25 crore by the end of the third financial year of grant of authorisation.
"All existing non-bank PA-CBs that are unable to comply with the networth requirement or do not apply for authorisation within the stipulated time frame, shall wind-up PA-CB activity by July 31, 2024," the circular said.
In respect of import and export transactions processed by PA-CBs, the RBI said the maximum value per unit of goods or services sold should be Rs 25,00,000.