Google Pay is not prohibited in India, clarified the National Payments Corporation of India (NPCI). NPCI is an umbrella organization that operates digital payments in India and developed the Unified Payment Interface (UPI) that is used for payments on platforms like Google Pay, PhonePe, and Paytm. On social media, there is a trending hashtag “GPayBanned By RBI”, accompanied by news that the Reserve Bank said Google Pay was not an operator of the payment system. However, shortly after this began to circulate, the NPCI issued a statement confirming that Google Pay is authorized and secure.
In its clarification, NPCI clearly writes that he was authorized by the RBI as the Payment System Operator (PSO). Companies like Google Pay are providers of PSO applications, and NPCI confirmed that transactions in Google Pay are fully protected by law. He states: “RBI has authorized NPCI as the UPI Payment System Operator (PSO) and NPCI in its capacity as PSO authorizes all UPI participants. We want to clarify that Google Pay is classified as a Third Party Application Provider (TPAP) which also provides UPI payment services like many others, working through banking partners and operating under NPCI’s UPI framework. All transactions made with any of the authorized TPAPs are fully protected by the repair processes. ”
Although the clarification was issued by the NPCI on Thursday, the hashtag along with the news link on the RBI continues to circulate and has become a trending topic on Twitter.
The RBI had been making a statement in the Delhi High Court in response to a PIL from financial economist Abhijit Mishra, who alleged that Google Pay allowed financial transactions without RBI authorization.
In response, the RBI allegedly set Google Pay does not operate any payment system, which is why its name does not appear on the list of authorized operators. He also told the Court that for this reason, he is not violating the law, however, the trending hashtag ignores this line in the report that is included frequently, so even before the NPCI issued its clarification, this hashtag was misleading.
The NPCI concluded its clarification by saying, “All transactions made using any of the authorized TPAPs are fully protected by the repair processes established by the applicable NPCI / RBI guidelines and customers already have full access to them. Furthermore, we would also like to clarify that all authorized TPAPs are already subject to full compliance with all applicable regulations and laws in India. The UPI ecosystem is completely secure and we urge citizens not to be victims of such malicious news. We also ask UPI clients not to share their OTP (unique password) and their UPI PIN with anyone.”

She is a freelance blogger, writer, and speaker, and writes for various entertainment magazines.