Get All Access for $5/mo

RBI Lifts Ban On American Express As per the RBI norms, American Express have been required to store Indian payment data locally since October 2018

By Teena Jose

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

American Express Twitter handle

The Reserve Bank of India, on Wednesday, lifted the restrictions on American Express Banking Corp, allowing it to restart onboarding of new domestic customers on its card network.

"In view of the satisfactory compliance demonstrated by American Express Banking Corp the restrictions imposed, vide order dated April 23, 2021, on onboarding of new domestic customers have been lifted with immediate effect," the Central Bank said in a notification.

It also added that, "American Express Banking Corp and Diners Club International are Payment System Operators authorized to operate Card Networks in the country under the payment and settlement systems act, 2007."

As per RBI report dated on 23rd April 2021, it had imposed restrictions on American Express Banking Corp from onboarding new domestic customers onto its card network from May 1 2021, for non-compliance with the RBI circular o storage of payment system data. RBI had lifted similar restrictions on Matercard after 11 months.

Sanjay Khanna, Interim CEO and COO, American Express Banking Corp, India, in a news report was quoted as saying, "We welcome today's decision by the Reserve Bank of India, which enables American Express Network to onboard new customers effective immediately. India is a key strategic market for America Express, and today's decision is the result of our significant local investments in technology, infrastructure and resources."

As per the RBI norms, financial services companies like Mastercard, American Express and Diners Club have been required to store Indian payment data locally since October 2018.

Teena Jose

News Desk Reporter with Entrepreneur India

Teena is a post graduate in financial journalism. She has an avid interest in content creation, digital media and fashion.
News and Trends

99labels Co-Founder Ishita Swarup Passes Away

Just two years into the business, it raised INR 16 crore from Info Edge and Bikhchandani, but it didn't go well

News and Trends

Reimagining HR: How AI is Leading to Workplace Prosperity

It's proven that the HRTech landscape has traditionally been characterized by tedious and manual processes prone to mistakes, fatigue, and biases. Recruitment, in particular, is a high-stakes area where errors can be extremely costly. These startups are working towards making it efficient

Entrepreneurs

This Unique Social Startup Helps in Offsetting Carbon Footprint

Verdoo, a free online tool, helps consumers fight climate change through online shopping

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Business News

How to Be a Billionaire By 25, According to a College Dropout Turned CEO Worth $1.6 Billion

Austin Russell became the world's youngest self-made billionaire in 2020 at age 25.

News and Trends

Over $230 Million Worth of Crypto Hacked: What Message Is It Sending?

With the siphoning of USD 234.9 million in crypto, what's next for the industry, its users, and government?