GANDHINAGAR: India-based Razorpay has obtained its final Payment Service Provider (PSP) licence from the International Financial Services Centres Authority (IFSCA), allowing it to operate in GIFT City and move money into and out of India under a single regulatory framework. The announcement follows the in-principle approval the company received from the regulator in April 2026.
The licence allows the company to move money into and out of India from GIFT City under a single regulatory framework. It follows the in-principle approval Razorpay received in April 2026, marking another regulatory milestone for the company as it seeks to enable compliant cross-border financial flows to and from India.
Rahul Kothari, CEO, Razorpay, said the company already facilitates cross-border payments on both sides: Indian consumers paying global businesses and Indian businesses collecting payments from customers around the world.
The setup is designed to replace a multi-step process with a single flow. Instead of connecting separately to multiple banks, compliance systems, and remittance partners, platforms can integrate once to offer global investing in line with the Foreign Exchange Management Act (FEMA) and GIFT City regulations. According to Razorpay, integrations that typically take months can be completed in two to three weeks.
Beyond investing, the infrastructure brings international collections, settlements, and multi-currency capabilities together under one regulated layer. The licence allows the company to move funds in foreign currency and hold them in multi-currency accounts, supporting flows that the domestic framework could not accommodate.
The development comes as outbound investment from India grows. According to the official press release, Indian residents invested USD 2.65 billion in overseas stocks and debt in FY26, a 56% increase year-on-year. Razorpay notes, however, that the infrastructure supporting this activity remains complex and fragmented, resulting in longer onboarding timelines, inconsistent user experiences, and operational uncertainty for both platforms and investors.
