PayU Unveils Push Provisioning Platform To Enable Seamless Card Tokenisation Between Banks & Merchants

Days after integrating Amazon Pay Later into its app to offer instant digital credit to customers, Prosus-backed digital payments giant PayU has now rolled out a push provisioning platform to facilitate seamless card tokenisation between banks and merchants.

The newly-unveiled platform allows customers to tokenise their credit and debit cards for multiple merchants and outlets directly through their bank’s portal, eliminating the need to save card details at the individual merchant level, the company said in a statement. 

Additionally, it also offers several benefits to merchants, including reduced friction in card payments, minismised risk of card data-related fraud and re-tokenisation of lapsed tokens.

The platform was launched at the Global Fintech Festival 2024 in partnership with all major card networks such as Visa and Mastercard. The move is aimed at enhancing the security and convenience of online card transactions.

Founded in 2006, PayU India enables businesses to collect online and offline payments via more than 150 payment modes, including debit cards, credit cards, net banking, BNPL, QR, UPI, EMIs and wallets. It competes against the likes of Razorpay and Cashfree.

The company has made a slew of announcements this year — including integrating Amazon Pay Later and Blinkit into its app — in the lead-up to its potential initial public offering (IPO). As per media reports, the fintech giant could file its draft red herring prospectus (DRHP) with the Securities and Exchange Commission of India (SEBI) this year for an initial public offering of at least $500 Mn.

Earlier this year, PayU India received an in-principle authorisation from the Reserve Bank of India (RBI) to operate as a payment aggregator (PA). The nod allowed the company to onboard new merchants for its payments business. 

In June, Dutch investment company Prosus, in its annual 2024 report, said that PayU India posted a 11% year-on-year (YoY) jump in its revenue to $444 Mn in the financial year 2023-24 (FY24).

The growth in the top line came primarily on the back of the rise in volumes from its existing merchant user base and growing “value added” services.

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