Transcorp International Secures RBI In-Principle Approval for Centralized Payment Systems
In a landmark development for India's digital financial services sector, Transcorp International Limited has received in-principle approval from the Reserve Bank of India (RBI) to participate in Centralized Payment Systems (CPS). This authorization, typically reserved for banks, marks a significant enhancement of the company's banking services infrastructure and regulatory standing.
Expanding Payment Ecosystem Capabilities
The CPS approval empowers Transcorp to build and operate its own payment ecosystem with Real Time Gross Settlement (RTGS) and National Electronic Funds Transfer (NEFT) capabilities, in strict compliance with RBI guidelines. This milestone enables the company to hold and operate a bank account directly with the Reserve Bank of India and receive its own unique Indian Financial System Code (IFSC).
The authorization significantly strengthens Transcorp's RBI-regulated payments infrastructure and solidifies its position within India's rapidly evolving digital financial landscape. Centralized Payment Systems are expected to enhance payment ecosystem independence, improve operational efficiency, ensure regulatory compliance, and support secure, technology-driven payment solutions.
Board Review and Strategic Focus
At its meeting held on February 04, 2026, the Board of Directors reviewed and noted this development, reaffirming the company's strategic commitment to building robust, regulator-aligned platforms supported by strong governance standards.
Impressive Financial Performance
The Board also examined the company's financial performance, noting substantial profitability increases:
- Quarterly growth: 49% increase over the previous quarter
- Nine-month growth: 67% increase over the corresponding period of the previous year
These results are for the period ended December 31, 2025. The company has fully repaid all public Fixed Deposits under its Public Fixed Deposit scheme, resulting in zero outstanding public Fixed Deposits as of the current date.
Transcorp continues to operate with the lowest average debt utilization, leading to significant reductions in finance costs and strengthened overall financial resilience.
Digital Payments and PPI Business Excellence
The Board further acknowledged the strong performance of the company's digital payments and Prepaid Payment Instrument (PPI) business, which continues to achieve record-high payment volumes monthly. This success is supported by technology-led innovation, multi-modal partnerships, and a compliant operating framework.
Management Perspectives
Mr. Rajesh Garg, Executive Director & Chief Financial Officer, commented: "The strong improvement in profitability reflects disciplined execution, operational efficiency, and prudent financial management supported by a conservative approach to capital utilization."
Mr. Ayan Agarwal, Chief Executive Officer – Payment Systems, added: "The RBI's in-principle approval for the Centralized Payment Systems significantly strengthens our digital payments capabilities. Combined with close workings with the regulators and payment networks, this positions us well for independent and compliant growth."
Key Financial Highlights
- Increased profitability during both the quarter and nine-month period
- Record highs and consistently growing transaction volumes in the digital payments business
- Minimum average debt utilization reflecting disciplined capital management
- Complete repayment of all Public Fixed Deposits
Company Background
Transcorp International Limited is a 31-year-old Reserve Bank of India-regulated entity listed on the Bombay Stock Exchange with over 20 locations nationwide. As one of India's first perpetual PPI license holders, the company has pioneered and democratized payment cards and UPI in India through partnerships with marquee fintech partners.
The company holds several industry firsts, including being the first non-bank to launch network cards in India, UPI on PPI, and wearable payment devices. Transcorp has crossed the milestone of six million PPIs issued and maintains a strong focus on financial inclusion and B2B partnerships.
Beyond payments, Transcorp offers comprehensive financial services including Foreign Exchange and Remittances as an Authorized Dealer Category II license holder, operating the online remittance platform Transwire. The company also maintains a robust insurance division licensed by IRDAI in association with leading Indian insurers and operates over 1,200 State Bank of India outlets across India along with Ritco Travels, a 40-year-old travel agency.
