After about 15 months, the Reserve Bank of India has lifted restrictions on global card network American Express on onboarding new domestic customers. The RBI imposed the restriction on the company in April 2021 for failing to comply with a 2018 circular on storing payment system data.
“In view of the satisfactory compliance demonstrated by American Express Banking Corp. with the Reserve Bank of India circular dated April 6, 2018, on Storage of Payment System Data, the restrictions imposed, vide order dated April 23, 2021, on onboarding of new domestic customers have been lifted with immediate effect,” the RBI said in a notification.
The 2018 circular required all payment system providers to ensure that the entire data related to payment systems operated by them is stored in a system only in India, within a period of six months.
