RBI allows Mastercard to onboard new customers after a 11-month hiatus

Nearly a year after Mastercard Asia/Pacific Pte Ltd denied access to 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 the storage of payment system data, the restrictions imposed, see order dated July 14, 2021, onboarding of new domestic customers has been lifted with immediate effect,” the RBI said in a statement.

RBI had previously barred Mastercard from onboarding new domestic customers to its network due to non-compliance with local data storage guidelines.

The move made Mastercard the third entity to be banned on these grounds after the RBI told American Express and Diners Club International in April not to get new domestic customers.

The entity (Mastercard) was found not to comply with guidelines for the storage of payment system data, despite the passage of time and the opportunities offered, the central bank’s earlier statement read.

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