Reserve Bank wants stricter rules for e-commerce payments gateways

E-commerce marketplaces acting as payment gateways and payment aggregators to other merchants will stop the activities in three months unless they separate this business and comply with all regulations, according to a discussion paper released by the Reserve Bank of India (RBI) on Tuesday.
 
Payment gateways and payment aggregators refer to entities, which provide technology infrastructure to route and facilitate processing of an online payment transaction and perform other functions without actually handling the funds.
 
They also facilitate e-commerce sites and merchants to accept payment instruments from customers for completion of their payment obligations to the merchants. Apart