PB Fintech's PB Pay Receives RBI Authorization as Payment Aggregator
In a significant development for the fintech sector, PB Fintech, the parent company of online insurance marketplace Policybazaar and lending platform Paisabazaar, announced on Thursday that its wholly owned subsidiary, PB Pay, has obtained a Certificate of Authorisation from the Reserve Bank of India (RBI). This license permits PB Pay to operate as a payment aggregator, marking the company's formal entry into the regulated payments business.
Immediate Commencement of Operations
The authorisation, granted on February 6, 2026, allows PB Pay to commence payment aggregation activities with immediate effect. This approval follows a regulatory process that began in early 2024, when the subsidiary received an in-principle nod from the central bank. The move is part of PB Fintech's strategic expansion into the payments domain, with the board approving the incorporation of PB Pay in March 2024.
What This Means for PB Fintech
A payment aggregator enables merchants to accept multiple digital payment modes, including UPI, credit and debit cards, and wallets, without the need for individual agreements with banks. The company stated that this licence will allow it to:
- Integrate payment processing directly within its own platforms, such as Policybazaar and Paisabazaar.
- Reduce dependence on third-party payment gateways, potentially lowering costs and improving operational efficiency.
- Enhance transaction efficiency and user experience for customers by streamlining payment flows.
- Open up opportunities to offer payment services to external merchants as a separate business vertical, diversifying revenue streams.
Financial Context and Market Impact
The approval comes during a period of robust financial performance for PB Fintech. The company reported a net profit of Rs 189 crore for the quarter ended December 2025, underscoring its strong market position. With this licence, PB Pay joins a select group of fintech firms authorised by the RBI to operate as payment aggregators in India's rapidly expanding digital payments market. This move is expected to bolster PB Fintech's competitive edge and support its growth trajectory in the evolving financial landscape.
The entry into the payments business aligns with broader industry trends, as more fintech companies seek to offer integrated financial services to capture a larger share of India's digital economy.
