PayPal India hits pause on domestic payments business

The American payments giant seems to be abandoning its local payment processing business to focus on cross-border payments.

Arti Singh

Delhi

14 December 2020

You can always update your display preferences in Settings menu

It looks like PayPal, the American payments processing giant, is beginning to scale down its domestic business in India, according to multiple partners and recently departed employees who spoke with The Morning Context. PayPal India, these people say, has intimated card network partners that they are “pausing” their domestic business and that they will stop onboarding new merchants from March 2021. The company will continue to offer its cross-border payments service in India.

“PayPal is saying that it will stop onboarding new merchants but will continue to service existing customers. This clearly means if you will not add new ones then slowly the business will shut down,” says an industry executive aware of the development.

PayPal has intimated Visa and Mastercard as well as the Reserve Bank of India that they are pausing their domestic business, two industry executives confirmed. The Morning Context could not independently verify this from Mastercard, Visa, and

Everything you need to know. Only with TMC.

The Morning Context’s mission is to build an independent, credible media company, which tells stories that matter. On the internet, business and chaos.

We ensure that our stories has an original point of view, covers new ground in critical analysis of the business, is an investigation into why something happened and makes sense of the complex world around us. Check out what else we have to offer.

Why choose

TMC?

Information and analysis you won’t find anywhere else

Read in-depth explainers, stories of startup battles and honest, genuine interviews.

Independent and unbiased journalism

We’re not afraid to write hard-hitting stories—we serve you, the reader.

Premium newsletters

Get insights from some of the best writers in India right in your inbox.

TMC Dialogues

Be a part of our exclusive subscriber community and discussions.

Get all the news from our categories

Reader’s quotes

What our reader’s love about TMC.

Research ideas don't come from a vacuum. The best ideas come from a spark, a contrarian take, an uncommon investigative insight, and one doesn't always get these from traditional media. TMC consistently makes me think about things in different ways, and I've frequently shared TMC articles with collaborators and students. Staying at the cutting edge is hard enough; TMC makes it much easier.

Rohit Chandra, Assistant Professor - School of Public Policy (IIT Delhi)

High quality, independent journalism is rare to find. The Morning Context set really high standards that make me wait for each story.

Abhay Pandey, Managing partner, A91 Capital

Well-written and researched long form reads on a wide variety of topics and a team of veteran journalists - all of this makes my subscription worth it.

Anupam Gupta, Investment research consultant

In today's very noisy and cluttered world, I like that the Morning Context goes below the surface of company PR to deliver fact-based stories on Indian business.

Jessie Paul, CEO, Paul Writer

The Morning Context is my daily opportunity to get smarter about one new company/sector. Discerning analysis, unbiased and approachable.

Miten Sampat, Angel investor & former CSO, Times Internet

In today's polarized world, authentic and unbiased facts are in short supply world over. The Morning Context is a refreshing approach towards truthful, well researched, fearless, and high-quality articles on contemporary topics.

N S Parthasarthy, Co-founder, Mindtree

In a world full of noise, The Morning Context is the calm that stimulates and energises your mind, with stories focused on fact, truth and dogged reportage.

Nikhil Taneja, Co-founder and CEO, Yuvaa

Although it’s a paid subscription, the kind of detailed research and quality of reportage makes it worth every rupee. It’s strength surely lies in having some of the finest journalists writing for it.

Shiladitya Bora, Producer, distributor and founder at Platoon One Films

As one of the early subscribers, I've had the opportunity to witness how quickly the team has grown, the variety of angles covered, and the research in every in-depth story and op-ed.

Amarjit Batra, Managing director, Spotify India