Mastercard-backed Instamojo has shut down its payments aggregator business after the Reserve Bank of India returned its licence application.
“As of September 27, we have shut down the payment aggregator business for which you require a licence. Our application has been returned by the RBI but we continue to function as a payment platform,” chief operating officer, Akash Gehani said.
In September 2021, Instamojo applied for the payment aggregator licence to the RBI but it did not fulfil the networth requirement at that point of time, Gehani added. He said that the company has partnered with other payment aggregators and has been working with them since October. The company may also consider re-applying for the licence in the next fiscal, Gehlani said.
The company said that all funds in its nodal accounts have been settled into the merchants’ payment accounts to licensed PA partners.
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