RBI Issues Circular On Regulation Of Payment Aggregators – Cross Border

The circular on Regulation of Payment Aggregator – Cross Border ("PA – CB Notification") has been issued by RBI, on October 31, 2023 (accessible here) to regulate all entities facilitating cross-border payment transactions for import and export of goods and services. The Notification is issued under Section 10(2) read with Section 18 of the Payment and Settlement Systems Act, 2007, and Section 10(4) and Section 11(1) of the Foreign Exchange Management Act ("FEMA"). Further, this directive is meant to be read with the other co-existing laws and does not have an overriding effect. This indicates that approvals, authorizations required under any other law in force, will remain unaffected.