The newly created council will also assist to the growth of Razorpay’s payment infrastructure and communicate with key institutions and stakeholders
Razorpay, a digital payments provider for businesses, has formed an independent advisory board and hired former Reserve Bank of India deputy governor N Vishwanathan, along with other industry experts, to assist it with governance, compliance, and risk management practises as it grows.
According to a statement, the newly created council will also assist to the growth of Razorpay’s payment infrastructure and communicate with key institutions and stakeholders.
Vishwanathan will preside over the board. Its other members include former State Bank of India managing director Arijit Basu, former telecom and IT secretary Aruna Sundararajan, and former Ministry of Skill Development and Entrepreneurship secretary KP Krishnan.
Razorpay is forming an advisory board in response to increased regulatory scrutiny of the fintech sector. The RBI has prohibited the company from hiring new merchants because to concerns with its payment aggregator licence.
The Enforcement Directorate filed a prosecution complaint in a Bengaluru court last month against seven organisations and five persons connected to the Chinese loan app issue, including Razorpay. Since last year, the ED’s money-laundering unit has conducted raids on key payment gateways such as Razorpay, Cashfree, and Paytm in connection with the issue.
In a statement, the startup, said that the advisory board’s key subject areas would be accelerating product innovation around customer experience and customer safety, developing practises for regulatory and compliance management processes, collaborating with various stakeholders to improve risk monitoring and cybercrime prevention, and developing new processes around digital information security that could help shape the future of the fintech ecosystem.
The advisory board will also assist Razorpay in developing long-term strategies, anticipating challenges, and suggesting mitigation measures. Furthermore, Vishwanathan stated that the board will provide the company with guidance and expertise in adopting governance and compliance practises. The digital payments provider claims that it has around 10 million merchants on its platform. In its last funding round, which took place in December 2021, the startup was valued at USD 375 million.