Cross-border paymens platform Xflow gets in-principle PSP approval at GIFT City IFSC

Cross-border payments platform Xflow has received in-principle approval from the International Financial Services Centres Authority (IFSCA) to operate as a Payment Service Provider (PSP) at GIFT City IFSC, marking a regulatory step in its expansion into infrastructure for international payment flows.

The approval places Xflow among a small group of fintech firms building regulated payment infrastructure within India’s international financial services hub. If granted final authorisation, the PSP licence would allow the company to offer services such as multi-currency collections, cross-border remittances and merchant acquisition for businesses operating in and through GIFT City.

The company said the framework would enable it to support end-to-end payment flows into and out of the IFSC, positioning GIFT City as a base for handling international transactions through a regulated structure overseen by International Financial Services Centres Authority.

Xflow already operates under multiple regulatory frameworks, including India’s Payment Aggregator–Cross Border and Payment Aggregator–Online authorisations, along with Money Services Business registration in Canada. It said the GIFT City approval adds another layer to its regulatory footprint as it expands its cross-border payments infrastructure.

The development comes amid broader activity in the segment, with fintech infrastructure provider Decentro recently securing final PSP approval from IFSCA.

Decentro has said it plans to offer services such as multi-currency accounts, escrow services, cross-border collections and settlements through a dedicated GIFT City entity.

The parallel approvals stress growing interest among payment infrastructure firms in using GIFT City’s regulatory framework to build cross-border payment capabilities aimed at businesses operating across jurisdictions.

Xflow, which recently raised $16.6 million in Series A funding, is also exploring regulatory licences in markets including the United States, United Kingdom, Singapore and Hong Kong as part of its international expansion strategy.

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