With this development, Mswipe will now provide all the necessary payment technology for businesses to accept payments through omni-channels.
Mswipe got in-principle approval from the Reserve Bank of India (RBI) for a payment aggregator licence in FY23
It is worth noting that the Fintech major narrowed its net loss by 45% to INR 49.1 Cr in the financial year 2022-23 (FY23) from INR 90 Cr in FY22 as it was able to reduce its cash burn
Fintech major Mswipe Technologies, which counts Alpha Wave Global, Matrix Partners, B Capital, DSG Consumer Partners, Epiq Capital, UC-RNT and Ola among its marquee investors, is the latest in the growing list of fintech startups to be granted payment aggregator (PA) license by the Reserve Bank of India.
This comes after the company received an in-principle nod from the central bank to operate as a PA in August 2022.
After receiving the in-principle approval, Mswipe said it would develop an in-house online payment gateway and offer full-stack payment solutions to offline and online merchants.
The RBI introduced the payment aggregator framework in March 2020. Under the norms, all payment gateway operators need to obtain a licence to acquire merchants and deploy digital payment solutions.
The final nod for the payment aggregator licence has come for Razorpay, Cashfree Payments, Open Financial, EnKash, Google Pay and Paymate India.
“The payment aggregator license solidifies the company’s objective to enhance its suite of offerings while delivering secure, efficient, and user-friendly payment technology to banking partners, enterprises, and merchants across categories,” Mswipe said in a statement.
Ketan Patel, cofounder and CEO of Mswipe Technologies, said, “With a continued commitment to our business partners and the merchant community at large, we stay true to our promise of providing innovative omni-channel digital payments with cutting-edge technology. Mswipe will continue to empower businesses of all sizes and categories across India including the smallest towns and cities making an impact in the increasingly cashless economy.”
Mswipe, founded in 2011 by Manish Patel, offers digital payments solutions to merchants. Its offerings include POS terminals with integrated offline and online card payments, QR codes and audio devices for payment confirmation.
Mswipes’ net loss declined 45% to INR 49.1 Cr in the financial year 2022-23 (FY23) from INR 90 Cr in FY22 as it was able to reduce its cash burn.
The company’s revenue from operations rose 14% to INR 274.5 Cr during the year under review from INR 240.7 Cr in FY22, as per the company’s filing with the Ministry of Corporate Affairs.
In November this year, Mswipe elevated chief executive officer (CEO) Ketan Patel as a cofounder.
Prior to that, Mswipe expanded its services to the UAE in partnership with Etisalat by e&.
Additionally, Nayantara Bhargava, formerly in charge of banking and partnerships, was elevated to the role of chief business officer.
Mswipe competes with the likes of PhonePe, Paytm, Ezetap, and Innoviti.
While the RBI has begun rolling out the PA licence to entities, other major fintechs such as PhonePe, Pine Labs and Billdesk are still awaiting the final nod from the regulator.
