PayGlocal gets in-principle approval to set up GIFT City PSP

Cross-border payments startup PayGlocal has secured in-principle approval from the International Financial Services Centres Authority (IFSCA) to establish a wholly owned subsidiary in GIFT City as a Payment Service Provider (PSP).

The approval allows the company to offer services such as account issuance, including e-money accounts, merchant acquisition, and cross-border money transfers, providing it with a regulated platform for serving businesses operating across multiple markets.

With the latest approval, PayGlocal plans to strengthen its international payments infrastructure from GIFT City while continuing to build its technology and operational capabilities in India. 

The company, which counts Tiger Global, Peak XV Partners, and Beenext among its investors, said it intends to support Indian merchants serving customers worldwide and gradually expand its offerings to businesses in other markets through localised cross-border payment and collection solutions.

Founded in 2021 by Prachi Dharani, Rohit Sukhija, and Yogesh Lokhande, PayGlocal helps businesses accept payments across international markets. Its platform supports more than 130 currencies and over 40 global and local payment methods, catering to sectors including exports, retail, travel, education, and SaaS.

This latest development follows some milestones for the company in recent months.

In November last year, PayGlocal received final authorisation from the Reserve Bank of India (RBI) as a Payment Aggregator-Cross Border (PA-CB) for both inward and outward transactions. 

Earlier this month, PayGlocal registered as a Money Services Business (MSB) with the US Financial Crimes Enforcement Network (FinCEN).

PayGlocal joins a list of fintech firms receiving similar approvals from IFSCA, following companies such as Betafront Tech, Zinc Money, and GlomoPay, which were granted in-principle approval to establish PSP subsidiaries in GIFT-IFSC in 2024.