PA‑CB License: The Complete Guide for Global Payment Companies & PSPs

India‑linked cross‑border payments are scaling fast, and the Reserve Bank of India (RBI, India’s central bank) has responded by directly regulating non‑bank cross‑border payment aggregators through a new Payment Aggregator. Cross Border (PA‑CB) framework. For global PSPs, wallets, marketplaces and SaaS platforms, PA‑CB is now the primary on‑ramp to serve Indian exporters and importers in a clearly regulated way.

Why PA‑CB Matters for Global Payment Companies

Over the last decade, Indian freelancers, SaaS exporters and D2C brands have become heavy users of cross‑border payment rails, while global platforms increasingly sell into India’s consumer and SME market. Regulators saw that much of this volume was running through lightly specified “OPGSP” arrangements (Online Payment Gateway Service Providers) and decided to replace that patchwork with a direct, licensing‑based regime.

In October 2023, RBI issued a dedicated circular bringing all entities that facilitate online cross‑border payment transactions for import and export of permissible goods and services under the PA‑CB framework. This now covers non‑bank PSPs, payment gateways, marketplaces and specialist cross‑border platforms that aggregate flows for Indian merchants or consumers.

If you are:

• A global PSP or payment gateway
• A SaaS platform or marketplace serving Indian sellers or buyers
• An export‑focused business building your own embedded payments layer

…you now need to understand whether your model falls within PA‑CB, how the licence works, and what options you have, which is exactly what this guide covers.

What Is a PA‑CB License?

In plain terms, a Payment Aggregator – Cross Border (PA‑CB) is a regulated intermediary that:

• Collects online payments for cross‑border transactions involving India (exports or imports).
• Routes funds through authorised banks and settles them to the underlying merchants, in line with foreign‑exchange rules.

RBI defines PA‑CBs as entities that facilitate cross‑border payment transactions for import and export of permissible goods and services in online mode. In scope are:

• Non‑bank entities aggregating payments for Indian exporters (inward remittances) or importers (outward payments).
• Platforms and PSPs where one leg of the transaction touches India – for example, Indian sellers paid by overseas customers, or Indian buyers paying foreign merchants.

PA‑CB sits inside the broader Payment Aggregator (PA) framework, which means PA‑CBs must meet the same high‑level expectations around governance, merchant onboarding, dispute handling, technology and security that apply to domestic online PAs. For a non‑Indian compliance lead, you can think of PA‑CB as “RBI’s passport for regulated cross‑border merchant acquiring touching India.”

PA‑CB License Categories – Export, Import and Both

RBI has created three flavours of PA‑CB so entities can align their licence with their actual flow of funds.

• PA‑CB‑E (Exports only)
  • Supports Indian exporters receiving money from foreign buyers.
  • Typical users: SaaS product companies selling subscriptions abroad, freelancer marketplaces, D2C brands shipping globally, cross‑border payout platforms for Indian creators.
• PA‑CB‑I (Imports only)
  • Supports Indian buyers paying foreign merchants for goods or services.
  • Typical users: global e‑commerce platforms, app stores, SaaS companies billing Indian SMEs/consumers in foreign currency or INR, cross‑border ticketing and travel platforms.
• PA‑CB‑E&I (Both exports and imports)
  • One entity licensed to handle both inward and outward cross‑border flows.
  • Typical users: large PSPs, global marketplaces and multi‑sided platforms where Indian users both buy and sell across borders (for example, a PSP like EximPe that now supports both directions under a PA‑CB licence).

Global companies should map their India touchpoints against these categories early, a pure export PSP supporting Indian freelancers differs sharply from a global app store or marketplace selling into India.

PA‑CB vs Other India Payment Routes

Global payment firms interacting with India typically see three regulatory building blocks:

• Domestic PA licence – for INR transactions where both buyer and seller are in India.
• PA‑CB licence – for online cross‑border flows with one leg in India.
• IFSC‑GIFT City PSP licence – an offshore payment‑service licence issued by IFSCA (International Financial Services Centres Authority) in India’s GIFT City, used as a global cross‑border hub.

Eligibility, Net‑Worth and Authorisation Process

Who actually needs to apply?

Under RBI’s October 2023 circular, non‑bank entities that aggregate online cross‑border payments for import/export of permissible goods and services must either obtain PA‑CB authorisation or exit the activity. Authorised Dealer (AD) Category‑I banks remain regulated as banks do not need a separate PA‑CB licence, but must still comply with the PA‑CB rulebook when offering these services.

In practice, you are likely in scope if you:

• Sit between Indian exporters/importers and overseas counterparties.
• Collect payments into pooled accounts before onward settlement.
• Decide, control or brand the payment experience, even if banks do the FX leg.

What PA‑CB Unlocks for Global PSPs and Platforms

The upside of this heavier regulation is clarity and scale.

• Example – India‑based PSP: EximPe has secured RBI’s PA‑CB licence, enabling it to facilitate both inward and outward cross‑border payments for Indian businesses across 130+ currencies under direct regulatory oversight. This lets global platforms plug into one integration and access India‑specific methods (UPI, local cards, EMI) for cross‑border flows.

For global PSPs and platforms, PA‑CB brings:

• Regulatory clarity and durability – you operate inside a known licence category rather than a bank’s internal arrangement.
• Faster time‑to‑market in India – especially if you partner with a licensed PA‑CB that can offer India‑specific checkout, documentation workflows and reporting out of the box.
• Better merchant experience – standardised flows for export/import documentation, predictable settlement timelines, and fewer “surprise” rejections from banks.

From a global‑network lens, PA‑CB is the regulated access node to India, just as local schemes and licences in the EU, US or SEA are for their home markets.

Market‑Entry Paths for Global Payment Companies

Most cross‑border PSPs choose one of three models.

1. Direct PA‑CB licence in India

Best suited when:

• Expected India GMV is large and strategic.
• You want full control over merchant relationships, risk and product roadmap.
• Your organisation is comfortable building regulatory, compliance and operations teams in India.

This path often makes sense for large PSPs already operating domestic PA licences or with deep India market commitment.

2. Partner with an existing PA‑CB licensee like EximPe

Best suited when:

• Speed and experimentation matter more than regulatory ownership.
• India is one important market among many, but not yet your primary growth engine.
• Your strategy is to remain an embedded or white‑label layer above local PSPs.

Here, you effectively treat the PA‑CB as local “infrastructure as a service,” while focusing on UX, contracts and global orchestration.

3. Dual‑entity structure (IFSC‑GIFT City + onshore PA/PA‑CB)

Best suited when:

• You want a global cross‑border hub with favourable tax and FX flexibility (via an IFSC‑GIFT City PSP licence).
• You still need regulated onshore access for Indian customers and merchants (via your own or partner PA/PA‑CB).

Many sophisticated PSPs are exploring IFSC‑GIFT City for global corridors while using RBI‑regulated entities for the domestic and India‑touching legs.

FAQs on PA‑CB for Global Companies