India, Aug. 5 -- The Reserve Bank of India (RBI) has granted 'in-principle' authorisation to IRCTC Payments Limited, the fintech subsidiary of Indian Railway Catering and Tourism Corporation (IRCTC), to operate as an online payment aggregator (PA).

The authorisation from the RBI was conveyed via a letter dated August 04, 2025. This marks a significant step for the state-backed company's expansion into the fintech sector.

The nod from the central bank will allow IRCTC Payments to facilitate online transactions between customers and merchants. The licence will also allow IRCTC Payments to pool the funds received from customers and transfer them to merchants after a certain time period.

IRCTC Payments was established last year with the st...