RBI allows Mastercard to onboard new customers after a 11-month hiatus
Premium- RBI had earlier barred Mastercard from onboarding new domestic customers on its network over non-compliance with local data storage guidelines
Almost a year after barring Mastercard Asia/Pacific Pte Ltd from onboarding new domestic customers on its network, the Reserve Bank of India (RBI) on Thursday lifted business restrictions imposed on the global card player “with immediate effect".
“In view of the satisfactory compliance demonstrated by Mastercard Asia / Pacific Pte Ltd with the Reserve Bank of India (RBI) circular dated April 6, 2018 on Storage of Payment System Data, the restrictions imposed, vide order dated July 14, 2021, on on-boarding of new domestic customers have been lifted with immediate effect," the RBI said in a statement.
RBI had earlier barred Mastercard from onboarding new domestic customers on its network over non-compliance with local data storage guidelines.
The move made Mastercard the third entity to be barred on these grounds after the RBI had in April told American Express and Diners Club International to not get new domestic customers.
The entity (Mastercard) has been found to be non-compliant with the directions on storage of payment system data, notwithstanding the lapse of considerable time and adequate opportunities given, the central bank's earlier statement read.