MSwipe gets RBI-nod on payment aggregator licence

MSwipe plans to launch its own payment gateway (PG) services pan-India over the next three months, chief executive Ketan Patel told ET.

The payments firm joins others including Razorpay, Pine Labs, Innoviti Payment Solutions and Stripe in receiving the banking regulator’s nod to operate as a payment aggregator.

The company has also applied for a prepaid payment instrument (PPI) licence and is in touch with the regulator to receive the same.

“We have around 700 enterprises and 500,000 on-ground merchants on our network. With the licence, we will first be piloting our PG with an existing merchant base and will then launch the product to newer customers after three months. With the PG stack, we become a full payment stack,” Patel said.

Founded in 2011, Mswipe provides payment solutions, including point-of-sale devices, Unified Payments Interface (UPI) quick response codes and payment links to help offline merchants receive payments digitally.

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It also aids offline merchants with loans as well as store and inventory management solutions.

As Mswipe ramps up competition against established players such as Razorpay, Patel said its PG product will be focused on the mid-segment businesses with a turnover of Rs 100 crore -Rs 200 crore.

With the PPI licence, Patel said the company will look to launch a PPI card to help merchants receive their settlements, which they can use at other purchase locations. Merchants will also be able to recharge these cards.

At present, MSwipe processes almost $4 billion in annualised total payment value (TPV), with the company looking to scale this up to $6 billion by the end of the ongoing fiscal year. It also provides loans to merchants and has an active loan book of Rs 70 crore.

The company also has plans to explore new international markets this year and is considering a launch in Singapore, Indonesia, the UAE as well as Sri Lanka and South Africa by the last quarter of this fiscal year.