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Paytm’s Luxembourg Unit Wins Payment Institution Licence

The approval permits transfers, credit-line-backed payments and merchant acquiring across EU markets under Luxembourg regulation.

Overview

  • Paytm Europe Payments S.A. was granted a payment institution licence by Luxembourg’s CSSF that took effect on July 2, 2026, and the firm was added to the regulator’s official list.
  • The licence explicitly authorises execution of payment transactions including credit transfers and standing orders, execution of transactions where funds are covered by a credit line, and acquiring of payment transactions for merchants.
  • Paytm Europe is a wholly owned step-down subsidiary of Paytm Cloud Technologies Limited and received a reported €9 million capital injection in May to boost its paid-up capital and fund operations.
  • Reports indicate Nasir Zubairi left LHoFT to join Paytm Europe as CEO to lead the newly regulated European business and establish local operations under full Paytm control.
  • The licence creates a pathway for Paytm to offer regulated payment services across the EU via passporting and supports the company’s international expansion plans as it returns to profitability and targets underserved small businesses.