 "Fintech Skydo receives in-principle approval to operate as PA-CB entity")
Cross-border payments firm Skydo on Tuesday received an in-principle approval from the Reserve Bank of India (RBI) to operate as a Payment Aggregator-Cross Border (PA-CB) entity.
At present, only five entities have received final approval from the banking regulator to operate as PA-CB. These include Adyen India Technology Services, Amazon Pay (India), Cashfree Payments, IndiaIdeas.com, and Pay10 Services.
About 11 existing cross-border payment companies can operate as PA-CB with their applications under process, according to the RBI website.
Bengaluru-based Skydo recently secured Payment Service Provider (PSP) approval from Amazon, enabling it to process payments for exporters participating in Amazon's Global Selling programme.
“Starting with payments, we will extend our offerings to credit, tax compliance, treasury services, and Export Data Processing and Monitoring System (EDPMS) reconciliation. Together, these products will form a comprehensive cross-border financial operating system for any exporter,” said Movin Jain, co-founder, Skydo.
The company, which started operations in 2022, claims to serve over 12,000 exporters in India, processing over $250 million in annual export payments.
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“We plan to scale our payment volumes by 10x over the next 18–24 months, expand to support import payments, and build out more trade corridors globally,” said Srivatsan Sridhar, co-founder and chief executive officer (CEO), Skydo.
The company’s customers include small and medium businesses offering services to global clients. It provides businesses and freelancers with foreign virtual accounts for receiving payments.
Skydo has raised $9.7 million in equity funding so far, led by Elevation Capital.