{"id":9430,"date":"2026-07-03T11:48:11","date_gmt":"2026-07-03T11:48:11","guid":{"rendered":"https:\/\/www.europesays.com\/lu\/9430\/"},"modified":"2026-07-03T11:48:11","modified_gmt":"2026-07-03T11:48:11","slug":"paytm-europe-gets-luxembourg-payment-institution-licence","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/lu\/9430\/","title":{"rendered":"Paytm Europe gets Luxembourg Payment Institution Licence"},"content":{"rendered":"

You can read the official announcement here<\/a>.<\/p>\n

One 97 Communications, the parent company of Paytm, said on Friday that its step-down wholly-owned subsidiary, Paytm Europe Payments SA (Paytm Europe), has received a payment institution (PI) licence from Luxembourg\u2019s Commission de Surveillance du Secteur Financier (CSSF).<\/p>\n

According to a stock exchange filing, CSSF informed Paytm Europe on Tuesday that it had granted the licence and registered it on the regulator\u2019s official list of payment institutions, effective July 2, 2026.<\/p>\n

This comes within three months of the Reserve Bank of India (RBI) cancelling the banking licence of Paytm <\/a>Payments Bank Limited.<\/p>\n

What services can Paytm Europe offer now? A PI licence is the EU authorisation that lets a non-bank firm provide regulated payment services. It is the most common fintech licence in Europe.<\/p>\n

According to the filing with exchanges, the licence permits Paytm Europe to provide three categories of services:<\/p>\n

a) execution of payment transactions such as fund transfers and credit transfers, including standing orders (automated, recurring payments), whether from the user\u2019s own payment service provider or another PSP;<\/p>\n

b) execution of payment transactions backed by a credit line, again including credit transfers and standing orders; and<\/p>\n

c) acquisition of payment transactions (merchant acquiring).<\/p>\n

Where can Paytm Europe offer its payment services? The EU\u2019s Revised Payment Services Directive (PSD2)<\/a> sets out the principle of a single authorisation for payment institutions. This allows a firm to offer its services in one member state throughout the EU without the need for additional local licences. This mechanism is called \u201cpassporting\u201d.<\/p>\n

This means Paytm can offer payment services across all European countries with a single licence.<\/p>\n

Why this matters: Paytm Europe was incorporated<\/a> on January 12, 2026. Paytm Cloud currently holds a 100% stake in the entity and will continue to retain full ownership following the investment. Last month, Paytm invested <\/a>an additional \u20ac9 million in its European subsidiary<\/p>\n

Foraying into Europe via a 100%-owned operating entity gives Paytm full control over its product, operations and expansion.<\/p>\n

In its Q3 FY26 investor presentation<\/a>, Paytm had said it saw international expansion as a key long-term growth driver, with the initiative expected to contribute meaningfully over the next 2\u20133 years.<\/p>\n

Besides Europe, Paytm also operates in the UAE, Singapore and Saudi Arabia. <\/p>\n

Last October, Paytm also launched<\/a> a feature, in partnership with the National Payments Corporation of India <\/a>(NPCI), to enable\u00a0UPI payments for NRIs across 12 countries, including the US, the UK, the UAE, Singapore, Australia, Canada, France, and Saudi Arabia.\u00a0<\/p>\n

Paytm reported <\/a>its first full-year profit of Rs 552 crore in FY26, swinging from a loss of Rs 663 crore in FY25. Revenue from operations came in at Rs 8,437 crore in FY26, up 22% from Rs 6,900 crore in FY25.<\/p>\n

Also read:<\/p>\n","protected":false},"excerpt":{"rendered":"You can read the official announcement here. One 97 Communications, the parent company of Paytm, said on Friday…\n","protected":false},"author":2,"featured_media":9431,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[4],"tags":[2819,25,139,2722,5,2767],"class_list":["post-9430","post","type-post","status-publish","format-standard","has-post-thumbnail","category-luxembourg","tag-digital-payment","tag-europe","tag-fintech","tag-licence","tag-luxembourg","tag-paytm"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@lu\/116855891837839430","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/posts\/9430","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/comments?post=9430"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/posts\/9430\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/media\/9431"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/media?parent=9430"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/categories?post=9430"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/lu\/wp-json\/wp\/v2\/tags?post=9430"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}