According to the official announcement, this makes Decentro the youngest fintech company to receive the permit from the regulator. The approval from RBI is a recognition of Decentro's fintech infrastructure tech stack and its focus on innovation. Moreover, this PA licence reaffirms Decentro’s capabilities to help businesses in the digital era while strengthening their financial operations and setting the start towards their next growth phase. With this, the company aims to develop industry-tailored, Open Banking payment solutions for regulated entities, fintechs, MSMEs, and enterprises.
In March 2020, the Reserve Bank of India (RBI) released a payment aggregator framework to ensure the safety of consumers and businesses. According to this framework, payment gateways must have a licence to acquire merchants and provide them with digital payment acceptance solutions. Following this, over 185 fintech companies applied for the permit, and as of 2023, 32 entities have received in-principal approval.
The latest company to receive approval for a payment aggregator licence is Decentro, joining the ranks of other important players such as Cashfree, Razorpay, Stripe, Pine Labs, and JusPay. With this, Decentro can now help its customers with improved payment solutions and security.
Commenting on this, Decentro officials stated that the company aims to upgrade banking and fintech integrations for the important platforms in India, particularly those using UPI and bank-to-bank payments such as NEFT, IMPS, RTGS, and e-NACH. Moreover, the PA/PG licence from the RBI is a significant step in the development of its global fintech infrastructure platform. It also ensures compliance and security standards.
Moreover, due to this approval, the company is ready to equip large-scale platforms, marketplaces, and lenders with its payment collection APIs, facilitating transactions across UPI, auto-pay, and e-mandates. As Decentro further mentioned, it is looking into exploring new opportunities for local and international expansion.
Since its launch as a banking API Integration platform for businesses, Decentro has built a broad fintech infrastructure platform that caters to over 700 companies, including Freo (MoneyTap), CashE, Muthoot Capital, Credit Fair, Ninjacart, among others. Moreover, Decentro currently offers over 40 deep APIs, SDKs, and UI workflows that cover all aspects of a company's financial infrastructure needs related to lending and payments.
At the beginning of January 2024, the fintech launched its Penniless Bank Account Verification API designed to help firms save time and onboarding costs for new clients. Following this announcement, the company aims to save up to ten hours and onboarding costs for every new customer and merchant who chooses the work and leverages Decentro’s solutions.
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