Stock broking platform has reportedly exited the payments space after surrendering its payment aggregator (PA) licence, two years after receiving approval from the Reserve Bank of India (RBI).
According to a report by The Head and Tale, the Bengaluru-based fintech company withdrew its PA licence without a formal announcement. The move indicates a strategic shift away from operating as a payments intermediary.
The specific reason behind the exit remains unclear as Groww has not publicly disclosed why it made such a move.
The stockbroker had received approval from the RBI in April 2024 for its payments arm, Groww Pay, allowing it to onboard merchants and process transactions directly as a payment aggregator.
Groww to focus on core business
Groww entered the payments segment in 2023 with a UPI app that enables customers to fulfil bill payments, recharges and credit card repayments. The latest move also signals a renewed focus on its core broking and wealth management business, where it has scaled rapidly over the years.
A payment aggregator (PA) license in India is mandatory for fintech firms to process digital payments, requiring a minimum net worth of ₹25 crore, RBI authorisation, and strict compliance with KYC/AML standards.
Groww, whose parent company is Billionbrains Garage Ventures Ltd, officially went public on 12 November 2025, listing on both stock exchanges — NSE and BSE. The ₹6,632.3 crore was open for public subscription from 4 November to 7 November 2025, with a price band of ₹95– ₹100 per share, ultimately debuting at a premium.
More firms give up PA licence
Groww is not the only company that has given up a PA or wallet license. Earlier in 2024, food delivery giant Zomato had also surrendered its payment aggregator and wallet licence.
, whose parent firm is Eternal, had received the approval from the RBI in 2022 but exited the segment without disclosing specific reasons, as it continued to sharpen its focus on food delivery and quick commerce businesses.
All these developments come at a time when the regulatory environment for payment aggregators has been undergoing changes. Between 2021 and 2023, the RBI adopted a stricter approach, when several applications faced delays or returned due to compliance shortcomings.
However, the regulator has shown greater flexibility in 2025, easing the approval process and allowing more companies to navigate the regulatory framework for payment aggregators.
Since then, the central bank has accelerated approvals and granted licences across online, offline and cross-border categories to players such as Paytm, Razorpay, PayU, Pine Labs, Easebuzz and Airpay, according to an Entrackr report.